Las Vegas cab drivers should be able to earn bounties for steering passengers to strip clubs, Nevada Gov. Kenny Guinn said on Friday.

In a statement, Guinn said he would veto a bill that would ban the practice in which strip clubs paying cab drivers for luring and delivering customers. Sex is big business in the only U.S. state to offer legalized prostitution.

"I have been concerned since this bill's passage by the legislature that it hurts the hard-working men and women who comprise the work force of taxicab drivers in our state," Guinn said.

Cab drivers in Las Vegas had lobbied against the bill, arguing that bounties are no different from tips paid to a hotel concierge for referrals. Lawmakers had called the bounties, typically around $20, kickbacks.

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