The parent company of California cardroom Casino M8trix has agreed to pay $1.5m for violating state gambling regulations.

A year ago, California’s Bureau of Gambling Control (BGC) accused the San Jose gaming venue’s owners of skimming millions of dollars in profits. Eric Swallow, Peter Lunardi and Peter’s wife Jeanine were accused of diverting the money to limited liability corporations controlled by the trio, listing the transfers as expense payments, thereby reducing the property’s net tax obligation to zero.

On Wednesday, the Silicon Valley Business Journal reported that Casino M8trix’s parent company Garden City Inc. had finalized a settlement with the BGC in May. Amongst other transgressions, Garden City copped to having an illegal financial relationship with a gaming services company, not documenting millions of dollars in financial transactions and said Swallow provided false info to the city of San Jose.

The Lunardis, who are parties to the settlement, had their gaming licenses renewed for another two years. Swallow, who was not part of the deal, has administrative hearings scheduled to commence on Aug. 10. The Lunardis claim to have been unaware of the property’s relationship with the financial services companies, which were owned by Swallow’s then-wife Deborah.