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Chris Sieroty

Regulators warn day-pool, club operators

13 April 2012

LAS VEGAS -- The Gaming Control Board has issued a warning to Las Vegas hotel-casinos regarding pool parties and nightclubs allowing underage guests, misquoting entrance fees, drugs, prostitution and other problems.

"Anticipating the approach of a new pool season, we believe it is necessary and appropriate to renew our admonitions and remind licensees of their responsibilities with regard to these venues," the board said in a statement.

Day pool parties are big business in Las Vegas, and have been known to generate millions of dollars in revenue for hotels both on and off the Strip.

The warnings by regulators are nothing new. Gaming regulators sent out similar letters in 2006 and 2009, but issued another warning this year because of problems that continue to occur.

The board didn't site any specific incidents, but in the past regulators have fined hotel operators for criminal conduct that has occurred on their property. On Jan., 27, 2011, the Nevada Gaming Commission approved a $650,000 settlement with the Hard Rock Hotel, following complaints of employees selling drugs and letting patrons use private restrooms for sex and drugs.

"From a criminal standpoint, drug use/distribution, sexual assault, violence, theft, minors and prostitution continue to be a problem," the board members said. "In addition, complaints continue to be received relative to tactics used to collect fees from patrons for entry, bottle service, the handling of incapacitated individuals and restricted access for law enforcement."

The board cautioned that while other companies lease out pools and run the day parties, the hotel-casino is responsible to make sure they follow state, local, federal laws and gaming regulations.

"The board is continuing to focus on this important matter and we intend to hold the licensee accountable for breaches of this responsibilities," gaming regulators said in a statement.