Sam Nazarian, CEO of global hospitality and entertainment company SBE Entertainment Group, will no longer be involved in the management of the SLS Las Vegas, a $415 million renovation of the Sahara Hotel that debuted in August. Stockbridge Capital Partners, the hotel’s principal investor, made the decision after Nazarian told Nevada gambling regulators he was the victim of an alleged extortion scheme and had used illegal drugs, the Wall Street Journal reports. According to the article, Stockbridge reached an agreement with Nazarian that will allow him, his family, and SBE to maintain its 10 percent ownership stake in the property, and for SBE to continue to operate the property’s nightclubs, retail spaces, and restaurants. Nazarian will no longer oversee any of those venues and is relinquishing day-to-day operations at the hotel.
