"Yes They actually sent in a guy to try to buy from the cage"
They did the same to several casinos including The Palms. Then the letter was sent.

"and were fined on the spot."

That CAN NOT happen. Impossible per gaming regs. There is no reg that says chips can not be sold at the cage. Fining is a lengthy process with hearings.

I don't doubt a cape person said that but NOT TRUE.