Sam Nazarian is being called out on some illegal proceedings during his time as owner of the recently opened 1,600-room SLS Las Vegas hotel and casino. The business owner—who initially built up his name and fortune by attracting the hottest Hollywood stars to his L.A. clubs and restaurants—relinquished control over the SLS Las Vegas after being busted for cocaine use by the Nevada Gaming Control Board. In addition to Navarian’s recent drug use, somehow Rick Fox and Suge Knight have wound up with their names in the middle of the scandal. According to the L.A. Times, Navarian was accused of distributing $3 million in payments to a felon with convictions for drug possesion and money laundering, some of which was paid to Suge Knight. Nazarian reportedly wrote the former Death Row Records CEO a check for $90,000 and never made contact with him again. SEE ALSO: Suge Knight Cried (More Like, Shed A Single Thug Tear) While Appearing In Court Actor and former L.A. Laker Rick Fox was loosely brought into the mix by allegedly introducing Navarian to Derrick “Smokey” Armstrong, the former business associate who he says blackmailed him. Messy. Gaming industry reporter Howard Stutz live tweeted the entire hearing today (Dec. 18).
I have never seen more security at a Nevada Gaming Commission hearing than I am seeing this morning.
— Howard Stutz (@howardstutz) December 18, 2014
What’s happening as Sam Nazarian hopes to get a gambling license? folo @howardstutz . So far, no sign of man Nazarian says blackmailed him.
— Kimberly Pierceall (@pierceall) December 18, 2014
Theme: Mumford “everyone deserves a second chance” All want Nazarian to remain with SLS #lvrj
— Howard Stutz (@howardstutz) December 18, 2014
Public comment over: all speakers support Nazarian. Note: “Extortionist” Derrick Armstrong did not appear #lvrj
— Howard Stutz (@howardstutz) December 18, 2014
Commissioner Brown just discloses negotiations taking place between his law firm Fenemore Craig and Lionel Sawyer Collins #lvrj
— Howard Stutz (@howardstutz) December 18, 2014
Nazarian Drug of choice was cocaine. Now working with doctors to assess if he has an alcohol problem #lvrj
— Howard Stutz (@howardstutz) December 18, 2014
Nazarian says he tried to rid Armstong from his life since 2005. Says he was introduced to Armstrong by ex-NBA star Rick Fox #lvrj
— Howard Stutz (@howardstutz) December 18, 2014
Nazarian says he had one phone call with Suge Knight; only dealing with Knight ever #lvrj
— Howard Stutz (@howardstutz) December 18, 2014
Nazarian says he wrote Suge Knight a check for $90,000. Wrote him a check and never heard from him again #lvrj
— Howard Stutz (@howardstutz) December 18, 2014
Looks like Nazarian will get the limited license with additional conditions – one year, no involvement in the casino. #lvrj
— Howard Stutz (@howardstutz) December 18, 2014
In the end, the Nevada Gaming Commission voted in Nazarian’s favor and granted him a one-year limited license. However, he is prohibited from any involvement in the oversight of gaming at the SLS. Photo Credit: Getty Images