Nevada Gaming Commission Imposes $10,000 Penalty on Lovelock Casino
June 30, 2025
Lovelock Casino Fined $10,000 for Accounting Irregularities
The Nevada Gaming Commission recently announced a $10,000 fine against Off the Rails Casino, located in Lovelock, for serious accounting violations spanning several years. The decision was unanimous among commission members, emphasizing the severity of the casino’s ongoing compliance issues.
Details of the Violations and Settlement
The Commission’s resolution included a financial penalty and a mandate for Off the Rails Casino’s parent company to employ a gaming industry-experienced accountant. This step aims to correct persistent accounting shortcomings identified since 2019.
On June 13, the Nevada Gaming Control Board filed an eight-count complaint outlining multiple breaches, including improper employee registration, failure to maintain accurate slot machine payout logs and accounting records, inadequate internal controls, errors in gross revenue reporting, insufficient bankroll documentation, and unauthorized access to secured count rooms. These practices fall short of the standards required for casino operations.
Senior Deputy Attorney General John Michela presented these findings to the Commission, highlighting repeated non-compliance with audit and control regulations despite three previous warning letters from the Gaming Control Board. Before escalating to a formal complaint, the Board issued a show cause order to address recent infractions, but the casino did not respond.
Casino’s Response and Future Compliance Measures
Stephen Young, the operator of Off the Rails Casino and legal representative for its parent company, SRY Industries LLC, pledged to enact necessary changes to address the issues and satisfy regulatory expectations. Attorney Steve Evenson acknowledged past procedural errors in dealings with state counsel but emphasized these did not affect the outcome. He urged acceptance of the settlement and reassured that improvements would be implemented. Additionally, the ownership plans to seek regulatory approval for relocating the casino to a new facility.
Commissioner Brian Krolicki confirmed that the settlement terms were straightforward and noted that the issues with audits and controls are actively being addressed. Commissioner Rosa Solis-Rainey reinforced the critical importance of adhering to regulatory requirements and stressed that compliance must remain a priority moving forward.
