I think there are 2 points here to consider.
The first is the one that the OP brought up, why are they not following their own strongly worded policy.
And the second is where was security.
Given the past history of enforcing policies, I don't know if many of us are surprised that this is not being enforced. But the lack of the presence of security is disconcerting. I'm sure the dealer or pit boss could have called for security well before this situation escalated. Did the call, or did security not show up when called?