Resorts World Las Vegas Names New CEO Amid Scandal

Resorts World Las Vegas has announced a significant leadership shake-up as it prepares to navigate the next phase of an ongoing money laundering investigation. The casino has appointed Alex Dixon as its new CEO, alongside the formation of a new board of directors, signaling a strategic shift as the property seeks to rebuild its reputation and address growing concerns from Nevada regulators. The announcements, made via a press release on December 5, come at a critical juncture for the company, as it faces mounting scrutiny over its role in a money laundering operation.

 

New Board and Managers

The newly established board will be chaired by Jim Murren, a former chairman and CEO of MGM Resorts, who now serves as chair of the General Commercial Gaming Regulatory Authority (GCGRA) in the UAE. Murren's wealth of experience in the gaming industry is seen as a stabilizing factor, providing leadership at a time when Resorts World’s internal controls and compliance measures are under review. Other members of the board include AG Burnett, a former chair of the Nevada Gaming Control Board (NGCB), Michelle DiTondo, a former MGM Resorts executive and principal at Avion Consulting, and Kong Han Tan, president and COO of Resorts World’s parent company, Genting Berhad. The newly appointed leadership team is expected to play a pivotal role in steering the company through the challenges posed by the ongoing investigation.

Dixon, a Las Vegas native, is set to take over the role of CEO on January 16, 2025. He brings with him a wealth of experience, most recently serving as the CEO of Q Casino & Resort and the Dubuque Racing Association in Iowa. Dixon’s appointment reflects Resorts World’s focus on stabilizing its leadership and moving forward with renewed direction. Genting CEO Kok Thay Lim expressed confidence in Dixon’s ability to lead the company, emphasizing that the new team would help drive Resorts World forward in its pursuit of long-term strategic goals.

The leadership changes at Resorts World come amidst serious allegations stemming from a 12-count complaint filed by the NGCB in August 2024. The complaint accuses Resorts World of allowing individuals with suspected ties to illegal bookmaking and organized crime to operate within its casino. The NGCB's investigation centers around the casino’s failure to implement sufficient internal controls, leading to potential violations of Nevada’s gaming regulations. One key individual at the center of the allegations is Mathew Bowyer, a California-based illegal bookmaker who allegedly laundered millions of dollars through Resorts World’s accounts. Bowyer’s operations were reportedly aided by the casino, which employed his wife as a personal host and allowed him to gamble large sums at the property.

The money laundering operation also involves Ippei Mizuhara, a former interpreter for MLB star Shohei Ohtani, who is accused of stealing $17 million from Ohtani to pay off gambling debts owed to Bowyer. The stolen funds were allegedly laundered through Resorts World and Pechanga Resort Casino in California. Bowyer now faces up to 18 years in prison for his role in the illegal activities, with his sentencing scheduled for April 2025. The casino’s failure to detect and prevent these transactions has raised serious concerns about its compliance with anti-money laundering regulations, prompting the NGCB to recommend formal action, which could include fines, license suspensions, or state oversight.

Resorts World’s financial performance has also been impacted by these ongoing issues. In its third-quarter 2024 earnings report, the casino posted revenue of $177 million, a significant 18% decrease from the previous quarter. The casino’s EBITDA for the same period was $16 million, marking a sharp 68% decline. These figures highlight the financial strain that Resorts World is under as it grapples with both regulatory challenges and a tarnished reputation. The impending response to the NGCB’s complaint, due by December 9, could further complicate the casino’s financial outlook if regulators choose to impose penalties.

The company’s leadership shake-up and restructuring come at a time when former president Scott Sibella is also facing the fallout from his role in past misconduct. Sibella, who served as president and COO of Resorts World from 2019 to 2023, was fired in September after news of the money laundering investigation became public. Prior to his dismissal, Sibella had pleaded guilty to anti-money laundering violations while serving as president of MGM Grand. He was accused of allowing an illegal bookmaker, Wayne Nix, to settle a $120,000 marker in cash without filing a suspicious transaction report. Although Jim Murren was CEO of MGM Resorts during the time of Sibella’s misconduct, Resorts World has not commented on any connections between Murren’s prior leadership role and the ongoing investigation.

 

Resorts World Las Vegas is committed to rebuilding its leadership and strengthening its internal controls to ensure long-term success and compliance with regulatory standards.

 

The Future

As Resorts World Las Vegas looks to move past these challenges, the casino’s new leadership team faces a critical test in restoring public trust and ensuring the long-term success of the property. The outcomes of the ongoing investigation, combined with the casino’s ability to stabilize its financial performance, will play a key role in shaping the future of the company. If the regulatory challenges continue to mount, Resorts World may face additional scrutiny and potential penalties that could further impact its operations. However, the leadership changes suggest that Resorts World is taking steps toward rebuilding its internal controls and ensuring that such issues do not arise again.

The next few months will be crucial for Resorts World as it navigates the complexities of regulatory oversight, financial stability, and operational reform. With the new CEO and board of directors in place, the casino will be working to address the ongoing investigation and turn the page on a difficult chapter in its history. How Resorts World responds to the challenges ahead will likely determine whether the company can recover and thrive in the highly competitive Las Vegas gaming market.