After MGM Resorts, Caesars Entertainment, and Gateway Casinos in Canada were victimized by cyber attacks recently, New York’s gaming regulator was also hit by cyber attacks over the weekend. The security breach had repercussions to some casinos in the state as well.
The New York Gaming Commission confirmed the attacks, which left the regulator’s slot management system down, meaning some slot parlors were shut down during this time.
“On Tuesday, Oct. 17, 2023, Everi, the licensed operator of New York’s video lottery gaming central system, experienced a cybersecurity event that remains under investigation,” commission spokesman Brad Maione told the New York Post. “The commission has no indication that personal identifiable information was compromised. The Commission continues to monitor the situation.”
Latest Cyber Attack in Gaming Industry
This becomes the latest attack against gaming entities. Recent attacks left MGM and Gateway casinos shut down for several days. The closures cost both companies millions of dollars per day.
Caesars management chose to pay a ransom to regain control of the company’s computer systems. In New York, some other casinos were affected for a time but resumed operations quickly.
“We shut down for a brief period,” Saratoga Casino part-owner James Featherstonhaugh told the Post. “It got cleared up fairly quickly. It was all the same issue. It got everyone’s attention.”
Cyber security may be a growing concern in the industry. Online intelligence and security firm Centripetal expects these types of events to grow in the coming years. As a multi-billion dollar industry, casino companies have deep pockets that attract interest from hacking groups.
The U.S. casino industry is expected to grow by $11.4 billion through 2025. The industry offers criminal groups large potential payouts via ransomware attacks and the possibility of gaining access to customer information.
“Players trust casinos with both their funds and their personal data, so it is no surprise that threat actors are targeting these venues,” Centripetal notes. “Cyber criminals today are also targeting online gaming sites, where there is significant potential for fraud, website compromises and man-in-the-middle attacks. In fact, gaming companies saw a 260% increase in online attacks from Q4 2021 to Q1 2022.”
Along with brick and mortar casinos, online casino operators have become larger targets as well. Just the nature of how these enterprises conduct business, offering multiple ways of depositing funds on a site, makes them a target among criminals.
“Gaming platforms use multiple payment platforms and gateways to handle customer data, from PayPal and Skrill to traditional card-based payment networks like Visa and Mastercard,” Centripetal notes. “However, relying on these third-party solutions to access, hold, and process customer data puts casinos at a higher risk of being breached by malicious actors.”
Former Police Officer Sentenced for Armed Robbery of Casinos
In other news, last week saw the end of a bizarre crime caper involving a former Las Vegas police officer committing armed robberies at three casinos. Caleb Mitchell Rogers, 33, was sentenced to 12 years in prison for crimes at the Red Rock, Aliante, and Rio casinos.
The crimes occurred from November 2021 to February 2022. Rogers was convicted in federal court in July with sentencing issued last week – 12 years in prison. Rogers blamed gambling addiction and a large amount of debt for the crime spree.
“I don’t have the ability to express to the court the stress I was facing,” Rogers said during the sentencing phase.
However, prosecutors were seeking even more prison time, arguing that Rogers broke the public trust as a police officer and even committed one of the crimes using his police firearm.
“The range of his actions here were not simply random — they were carefully planned,” Assistant U.S. Attorney Daniel Cowhig said in court.
The incidents involved Rogers entering each casino and walking to the cashier and demanding money. The first robbery took place in November 2021 at the Red Rock, where he was assisted in the crime by his brother Josiah Rogers. The two stole $73,810 from the casino and Rogers then also robbed the Aliante In January 2022 of $11,500.
The final robbery attempt at the Rio proved to be Rogers’ undoing. After knocking down a security guard, Rogers threatened employees with a gun and shoved $78,898 in a bag before trying to exit the property.
Security officers were able to tackle the crook and disarm him as well. He was later arrested by police and admitted to also being a cop. He’s now facing a long stint in a prison cell.
During the trial, Rogers’ brother Josiah Rogers testified against him after reaching an immunity deal with prosecutors. Josiah Rogers described planning the crimes and using code words in text messages to disguise their activities.