Grand Sierra Resort in Reno will pay a $250,000 fine as part of a settlement approved Monday by the Nevada Gaming Commission.
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Nevada Deputy CEO Mike Somps said the settlement resolves a complaint against the resort stemming from a December 2023 incident when a Division of Gambling Control agent conducting surveillance attempted to gain access to the theater. The agent tried to bypass the theater’s metal detector and was approached by security.
Somps said the agent showed his badge and credentials but was not granted immediate access. Instead, he was told he would have to give up his weapon before he could continue in the theater. The agent spoke with two additional security personnel and a manager outside the theater to gain access.
“There is some disagreement as to what happened during the discussions with these additional individuals, but as the Gaming Control Board alleges and Grand Sierra acknowledges, these representatives denied the agent immediate access to the theater.” The agent was informed that he had to give up his weapon.
Somps said the alleged conduct violated state laws and Commission regulations. In January 2021 a private security guard hired by the resort was denied entry and given a violation letter. The resort said corrective measures are in place to prevent future violations, including advising the security team that gaming agents are allowed to enter without being swallowed or going through a metal detector.
“What happened on December 19, 2023 is troubling to the Board not only because of the previous violations, but also because of the apparent lack of training that occurred after those violations from 2021,” Somps said. “The director of security, who had been on the job for one year in December 2023, was not made aware of these previous breaches. If it had, the subsequent offenses may not have occurred.”
Somps said these types of violations are not common in the industry because licensees respect the board’s authority. The last violation was ten years ago.
“Licensees have a long history of compliance and giving board agents immediate access to all parts of the premises,” Somps said. “The Board takes the Grand Sierra Resort violation seriously and asserts that the licensees and their employees understand that any Board agent will be given immediate access to any part of the gaming establishment’s premises upon presentation of their credentials.” This disciplinary matter should serve as a reminder to all licensees of the Board’s powers and duties in this area.”
In addition to the $250,000 fine, Grand Sierra is required to implement and maintain a training program for its employees on the authority of the board and how to interact with agents.
Commissioner Brian Krolicki said he understands how serious the problem is, but in the 2023 case. he was six minutes late to be admitted to the cinema.
Somps said agents allow some flexibility, but that in this case the delay was “significant.” In addition, the six-minute delay is the contention for Grand Sierra Resort, but the Board will present a different time frame that is even longer.
“I understand that agents should be able to roam anywhere within a licensed facility, but why would they have access to the theater?” Krolicki Somps asked.
Somps said agents go into no-game zones because those spaces affect the reputation of the industry and Nevada. He cited nightclub violations at Nevada gambling establishments that were off the ballparks.
Scott Sher, who represents MEI-GSR Holdings, the owner of the Reno resort, had no comment during the proceedings.