Pure Management Group, which operates several Las Vegas casino nightclubs, has developed and launched a regulatory compliance program in the aftermath of a highly publicized IRS investigation and raid more than two years ago.
PMG, which operates clubs including Pure at Caesars Palace, LAX at Luxor and Christian Audigier at Treasure Island, said its plan was developed with “assistance, cooperation and guidance” from the Nevada Gaming Control Board.
Investigators raided Pure nightclub at Caesars Palace in Feb. 2008 to determine if employees properly reported unadvertised admission fees and tips. In some instances, clubgoers reported paying astronomical “tips” to bouncers to gain admission to the high-end club.
In the release announcing the compliance program, PMG chief exec Ned Collett said the company was committed to “preventing unlawful activities and maintaining seamless coordination with our gaming property partners.”
The release said Pure consulted on creation of the compliance committee with MGM Mirage execs and Jerry Markling, Gaming Control Board chief enforcement officer.
It said committee members including Collett, Greenberg Traurig attorney Michael Bonner and others planned to meet quarterly.
The committee is expected to make recommendations to Pure board members, and maintain communications with the Nevada gaming board and the Clark County Department of Business License. The plan calls for coordination between Pure security management with security at resort properties.
In addition to the Pure raid by the IRS, gaming officials fined operators of Planet Hollywood for activities at the Prive nightclub, and other law enforcement officials have conducted investigations of activities at other clubs and pools.