The now ousted CEO of Wynn Resorts Ltd., Steven Wynn himself, will seek to challenge the Nevada Gaming Control Board, which is seeking to ‘discipline’ the former executive and revoke his gaming license.
Attorneys Fight Back NGCB Claim on Wynn’s License
Steve Wynn has fallen in the crosshair of regulators once again, after the now-ousted Wynn Resorts Ltd. CEO and Chairman continues to suffer from the fallout of a sexual harassment lawsuit, which saw him lose control over the family business and divorce his spouse.
Mr. Wynn is now targeted by the Nevada Gaming Control Board, the watchdog that wants to fine him. However, Mr. Wynn’s legal team has issued a response, arguing that he was no longer involved in the company and had no financial interest to pursue.
Therefore, any such claim would be unsubstantial and the action itself – needed to be dismissed, Mr. Wynn’s attorneys claimed. The exact text read as follows:
“The specific question presented is: Has the Nevada Legislature expressly or implied authorized Nevada’s gaming regulators to discipline a person who no longer has any involvement with a Nevada gaming licensee and, thus, no longer poses an alleged threat to the industry or the public at large? We submit the answer to that question is a resounding ‘No.’”
Why So Serious?
The Nevada Gaming Commission reacted strongly to the case and launched immediate investigation when the allegations first surfaced. This led to a near-immediate fall-from-grace for the executive who had to leave Wynn Resorts soon after and did so in February 2018, selling off his entire stake.
The Republican Party, which Mr. Wynn had sponsored devotedly, chose to distance itself. Furthermore, Nevada’s watchdog stressed that as a result of Mr. Wynn’s behavior, the company had suffered significant reputation damage.
In February 2019, the regulator slapped Wynn Resorts with a $20 million penalty, and the company also got in hot water with Massachusetts authorities who launched an investigation of their own and even suggested that they might suspend a long-coming project in the Boston area.
No Admittance of Guilt
Despite the piling accusations and stern regulatory action, Mr. Wynn has denied wrongdoing. It has been almost two years since the Wall Street Journal first broke the story leading to the downfall of the billionaire.
Meanwhile, his legal team has been doing a good job of fighting off the NGCB’s inroads. For example, Mr. Wynn’s attorney explained that the NGCB has both confirmed their client’s lack of affiliation with the Nevada gaming industry, but also sought to revoke the licenses of all ten employees involved in the case – Mr. Wynn himself and people who were aware of his alleged harassment of hotel staff.
Nevada has been adamant in pursuing Mr. Wynn’s license, but he has proven belligerent. Now, the board would have time until November 27 to dismiss the motion whereas Mr. Wynn and his attorneys would be allowed to respond by December 9.