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Last week, the Planet Hollywood Resort & Casino in Las Vegas agreed to pay a $500,000 fine to Nevada gambling regulators over questionable policing of illegal activity inside the independently operated “Prive” nightclub at the resort.
This settlement that could include another $250,000 per year in fines if changes are not made is the first of it’s kind. A precedent has now been set for Casino operators as Planet Hollywood is the first resort to acknowledge it was at fault for problems inside a nightclub that it doesn’t own.
“We didn’t execute proper supervision and we’re the message being sent to the rest of the industry,” said Frank Schreck, Planet Hollywood’s lawyer.
According to the Gaming Control Board, Prive employees removed drunk customers, leaving them unattended in the casino, physically and sexually assaulted customers, admitted under-age minors into the club and hired people with criminal records.
The board has also charged that prostitution increased around the club and nothing was done to discourage the activity.
Authorities have also said that Planet Hollywood is not the only casino in the hot seat, several hotel-casinos are under investigation over activities inside their nightclubs and other venues.
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