Hard Rock Suspends Senior Executive Following AML Allegations

Onerous Rock Worldwide has positioned senior vp Alex Pariente on unpaid depart following critical allegations of misconduct tied to the corporate’s Punta Cana on line casino operations within the Dominican Republic. The suspension comes because the on line casino big actively pursues a high-profile gaming license in New York Metropolis in partnership with Mets proprietor Steve Cohen.

Whistleblower triggers inner probe:

The accusations, which emerged by a number of investigative reviews and a whistleblower tip, focus on suspicious monetary exercise at Onerous Rock’s Dominican Republic property. Pariente, a veteran government with a historical past in Caribbean gaming, is below investigation for allegedly enabling illicit transactions and failing to stick to anti-money laundering (AML) protocols.

Based on the New York Submit, the investigation was launched after R.J. Cipriani, a federal informant also referred to as “Robin Hood 702,” alerted Onerous Rock executives to questionable conduct on the Punta Cana on line casino. Cipriani claimed that Pariente instructed an worker to just accept a $100,000 money deposit from a Chinese language gambler and break up it into 33 smaller $3,000 transactions—an act that reportedly violated Dominican AML legal guidelines designed to stop monetary structuring.

Onerous Rock launched an announcement confirming the suspension and emphasizing its zero-tolerance strategy: “Onerous Rock Worldwide is conscious of the allegations involving one in all our executives and is treating the matter with the utmost seriousness. Honesty and integrity are core values of our group, and we maintain all staff members—no matter their position—to the best moral requirements.”

Based on Cipriani, the difficulty has already drawn consideration from federal authorities and gaming regulators in New York, Florida, and Nevada. He additionally stated Onerous Rock CEO Jim Allen contacted him straight relating to the matter. “Onerous Rock CEO Jim Allen reached out to me straight and is taking the matter very critically,” Cipriani instructed The New York Submit.

Allegations involving high-stakes gamblers and recognized bookmakers:

Along with the structuring incident, Pariente is accused of allowing unlawful bookmakers—together with Matthew Bowyer—to gamble on the resort. Bowyer, a Southern California bookie at present awaiting sentencing for working one of many largest recognized unlawful sports activities betting rings within the U.S., had reportedly collected round $13 million in losses in 2023 and was linked to Shohei Ohtani’s former interpreter, Ippei Mizuhara.

On line casino.org first reported that Pariente additionally allowed credit score markers to go unpaid and facilitated questionable consumer relationships. Two different workers related to Pariente have reportedly additionally been suspended, though Onerous Rock declined to substantiate this.

Pariente’s long-standing presence within the Caribbean gaming market provides weight to the controversy. He beforehand held government roles at Baha Mar within the Bahamas and Nexus in Nassau, each luxurious resort operations, and served as chief gaming officer at Onerous Rock Punta Cana.

The timing of the allegations is especially delicate. Onerous Rock just lately submitted a joint bid with Steve Cohen for a New York Metropolis-area on line casino, often called Onerous Rock Metropolitan Park—a proposed $8 billion resort positioned close to Citi Subject. The New York State Gaming Fee has remained tight-lipped however reiterated that “the gaming facility analysis course of contains NYS Police-background investigations of corporations, associates, and the principals of all of the candidates.”

Onerous Rock shouldn’t be the one on line casino operator dealing with compliance challenges. Earlier this 12 months, Resorts World Las Vegas acquired a $10.5 million advantageous from Nevada regulators over AML violations tied to illicit bookmakers, together with Bowyer. MGM Resorts settled individually for $8.5 million over associated compliance failures.

Each Resorts World and MGM are among the many eight candidates competing with Onerous Rock for one of many restricted downstate licenses within the New York area.