In Nevada, casino operator, Wynn Resorts Limited, has reportedly agreed to pay a fine of $20 million in order to settle claims that it had failed to properly investigate multiple sexual misconduct allegations levied against its former Chief Executive Officer, Steve Wynn (pictured).
Record penalty:
According to a Tuesday report from the Las Vegas Review-Journal newspaper, the penalty from the Nevada Gaming Commission represents the largest ever imposed on a single casino firm in the western state and is well above the previous record-setting $5.5 million accessed against what is now CG Technology almost five years ago.
Nevada settlement:
The punishment came as a result of a deal Wynn Resorts worked out with the Nevada Gaming Control Board last month where it had admitted that it had not adequately addressed at least seven accusations of impropriety made against 77-year-old Wynn dating back to 2005. The septuagenarian resigned his post with the firm behind the giant Wynn Las Vegas venue a year ago before going on to liquidate his entire shareholding about a month later.
Changes noted:
In determining the fine, the four-member commission considered the numerous positive steps that the Las Vegas-headquartered operator implemented in the wake of Wynn’s resignation. These included the naming of Matt Maddox as its new Chief Executive Officer and President as well as the appointment of a trio of female directors.
Forward progress:
However, the regulator was also eager that its penalty, which represents approximately 4.2% of Wynn Resorts Limited’s net profit for 2018, should reflect the need for American corporate culture to ‘move the needle’ in order to come up with strategies and programs that better address issues of inclusion, harassment and empowerment.
According to a statement from Wynn Resorts…
“We are pleased that the Nevada Gaming Commission has recognized the company’s transformation and ‘refreshed culture’ over the course of the last twelve months and acknowledged the ‘paradigm shift’ that has occurred within the company. The completion of the review by Nevada regulators is an important step forward and we deeply appreciate the trust and confidence they have placed in the new leadership of Wynn Resorts Limited to ‘grow and prosper’.”