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Palms Faces Million Dollar Fine

LAS VEGAS (AP) — Las Vegas police say arrests are imminent after nightclub workers at Palms Casino Resort accepted payments to supply prostitutes, cocaine and pain pills in a series of stings last year.

The company that owns the hotel says it will pay $1 million in fines for failing to prevent the shady dealings. Palms spokesman Alex Acuna says casino bosses were “concerned and disappointed” to learn of the activities apparently rampant at their nightclubs

Acuna says the Palms is implementing mandatory drug testing, setting up a whistle-blower system and making changes in its security department to avoid future incidents.

Among other offenses, a Nevada Gaming Control Board complaint said employees of NM Ventures LLC and NM Ventures II LLC, which operates the nightclubs, offered to sell undercover agents ecstasy and $18,000 worth of cocaine last March.

The $1 million fine must be approved by the Nevada Gaming Commission.

The Palms will also pay $78,000 for investigation expenses.

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