Roberto Orellana, a man who allegedly scammed a casino worker out of $350,000, has pleaded not guilty in court. If convicted, the man faces up to 15 years in prison.

The 44-year-old was accused of scamming a cashier at Grand River Casino, a tribal gambling property in Mobridge, South Dakota. According to the allegations, the employee received scam texts on their phone from who appeared to be their boss.

The texts claimed that a firm was conducting an audit of Grand River Casino. According to the scam text, an alleged lawyer needed the money to help the casino avoid additional fines. The text told the employee to transfer the cash into Bitcoin at a machine in Aberdeen. A second text included detailed instructions, telling them to bring the money to the Dakota Sunset gas station in Mitchell.

Once there, the employee handed the money to two men who were waiting for them in the gas station’s parking lot.

The Man Pleaded Not Guilty to the Allegations

While authorities didn’t confirm how the casino realized the scam, the authorities were eventually contacted, prompting an investigation into the matter. After an expert from the South Dakota Division of Criminal Investigation investigated the matter, the department was able to access the gas station surveillance and identify the credit card used by one of the two suspects.

The man who owned the credit card was Orellana from Omaha, Nebraska, the police understood. They also learned that he was the owner of the car that the two suspects used.

According to a report from the Mitchell Daily Republic, Orellana pleaded not guilty to the allegations on Tuesday. The case will likely progress into a trial as the man faces a maximum sentence of 15 years in prison and a fine of up to $30,000.

Federal authorities had requested a bond hold on Orellana but Judge Chris Giles denied changing the conditions.

The report didn’t mention anything about the man who was with Orellana when the casino employee brought the money. Authorities are yet to say what has happened to the money.

The post Man Who Scammed an SD Casino Risks 15 Years in Prison appeared first on Keno Wizard.

As the race for New York City casino permits intensifies, potential operators find themselves facing a high-stakes gamble not only for the coveted licenses but also in terms of financial risk. A recent report from financial analysts at S&P Global Ratings suggests that successful bidders may find themselves shouldering substantial debt burdens.

Major Players Vie for Lucrative Downstate Casino Licenses in the Battle for the Big Apple

The New York state government is set to award three downstate casino licenses, opening the doors to what is considered one of the last untapped gaming frontiers in the United States. The competition is fierce, with major players like MGM Resorts International, Las Vegas Sands, and Wynn Resorts vying for the lucrative opportunity.

S&P Global Ratings, in a comprehensive new report, outlined the potential financial implications for the winning operators. The proposed projects range from $2 billion for expansions or redevelopments of existing properties to over $5 billion for entirely new developments. The report indicates that the impact of the associated leverage could materialize within the next 12-18 months.

One of the key concerns raised by the analysts is the strain on corporate credit metrics as companies seek to secure a foothold in the highly competitive New York market. MGM Resorts International‘s Empire City Casino in Yonkers and Resorts World New York in Queens are rumored to be strong contenders, although nothing is confirmed at this stage.

Rumors Swirl, Anticipating Record-Breaking $1 Billion License Fees

New York is not holding back in capitalizing on its sought-after status, with recent rumors suggesting that winning bidders could be slapped with licensing fees as high as $1 billion each. This figure far exceeds the initially anticipated cost of $500 million per permit. When factoring in construction costs, operators like Las Vegas Sands and Hard Rock International may be looking at a staggering total investment of up to $6 billion and $8 billion, respectively.

Despite the potential financial challenges, experts believe that New York could offer a short-term pain, long-term gain scenario for victorious operators. The prospect of dominating the New York market is seen as a strategic move that could pay off handsomely in the long run. However, the timeline for these developments is extended, with S&P suggesting that licenses may not be awarded before the second half of 2024. Significant capital spending is not expected until 2025, given the complexities of building in New York and the ambitious scale of the proposed projects.

The post S&P Warns of Financial Risks for Bidders in New York Casino Permit Race appeared first on Keno Wizard.

Several days ago, MGM Resorts International was hit by an unprecedented cybersecurity issue, forcing it to shut down multiple computers and temporarily shut down its official website. Believed to be a cyberattack, the issue affected the casino and hospitality giant’s business in multiple states.

Following reports about an earlier cyberattack on Caesars Entertainment, another casino juggernaut, people familiar with the matter claimed that the cyberattack on MGM Resorts had been initiated by the same group.

Sources identified the wrongdoers as the Scattered Spider group, a notorious team of cybercriminals, believed by experts to be comprised of tech-savvy young people. Currently one of the most dangerous hacker groups in the United States, the Scattered Spider group cleverly uses social engineering to get hold of users’ login credentials and OTP codes.

The efficacy of this tactic has resulted in multiple successful cyberattacks, disrupting companies’ business.

MGM Prepares for Material Losses

MGM Resorts earlier admitted that the incident carries a significant material risk to the company. This was reflected in the company’s share price. Currently trading at a price of $41.47 per share, MGM’s stock has been on the decline since the first news of the incident.

In addition, the shutdown of multiple corporate emails, sites and booking systems is likely to incur further losses. Even worse, the shutdowns have caused significant disgruntlement among unhappy MGM Resorts customers who continue to express their worries about their personal data on social media.

Adding to the casino giant’s woes, Moody’s, an influential credit rating agency, noted that the recent attack is likely to affect MGM’s credit rating negatively because of the underlying security weaknesses.  

While MGM refused to comment on Moody’s warning, the company filed an 8-K report to the Securities and Exchange Commission, warning it about the potential impact of the cyberattack.

In the meantime, reports claim that Caesars Entertainment had been hit by a similar breach several days prior to the MGM Resorts incident. According to people familiar with the matter, Caesars had to pay tens of millions of dollars to the wrongdoers in order to secure its business.

Elsewhere, Stake.com, a leader in online and crypto gambling, recently lost millions of dollars in cryptocurrencies following an attack from another cybercrime group. The FBI later identified the attackers as the Lazarus Group, a team of hackers with ties to North Korea.

The post Scattered Spider Behind MGM Attack, Company Prepares for Material Risks appeared first on Keno Wizard.