The 38-year-old American sued over a version of baccarat known as Punto Banco that he played at the Mayfair casino over two days in August 2012.
After four sessions, Ivey was told the money would be wired to him and he left for the US, but it never arrived, although his stake of £1m was returned.
Genting Casinos UK, which owns more than 40 casinos in the UK including Crockfords, said the technique of “edge-sorting” Ivey used – which aims to provide the customer with an element of “first card advantage” – was not a legitimate strategy and that the casino had no liability to pay him.
Ivey’s trial began on Monday in London where he claimed he was unjustly treated. Mitting reached a decision on Wednesday.
“He gave himself an advantage which the game precludes,” Mitting said, according to Bloomberg Businessweek. “This is in my view cheating.”
Ivey expressed his disappointment through a spokesperson following the ruling.
“I believe that what we did was a legitimate strategy and we did nothing more than exploit Crockfords’ failures to take proper steps to protect themselves against a player of my ability,” Ivey said. “Clearly today the judge did not agree.”