Wynn Resort to Pay $20 Million Fine for Sexual Misconduct Scandal
The Nevada Gaming Commission has hit out at Wynn Resort over the former CEO, Steve Wynn’s sexual misconduct with a $20 million fine. It is the highest ever recorded fine in the history of the casino regulator. The gaming commission had been engulfed with the investigation into an allegation of sexual misconduct since last year, with a settlement last week between Wynn and the regulator.
History of Ignoring Sexual Complaints Against Wynn
Following further investigation into the business culture, Wynn Resorts conceded that the board members had failed to follow up approximately eight sexual misconduct allegations made against Steve Wynn during his tenure as CEO. The allegations were all made by employees of the resort and the latest complainant was paid more than $7 million in hush money. A nondisclosure was signed by the manicurist who had accused Wynn of coercing her into sex back in 2005. While the company can recover the money lost through the fine, the same cannot be said about their brand. The casino’s stock has declined by 35% since the Journal published its investigation on the sexual misconduct scandal.
Wynn Attempts Damage Control
Wynn Resorts has since hired a new chairman in Phil Satre after Wynn stepped down. Satre is confident the Wynn Resort will come out of this situation a better company. There have been efforts put in place to address change in the corporate culture and governance following the investigation. They have been working hand-in-hand with the regulator to ensure that they rid the company of this poor taste in behaviour.
On Monday, the Hynes Convention Center in Boston had been open its doors to hiring new staff. Thousands of applicants turned out to apply, while the main attraction was Cornhole and Jenga games. The company managed to distract the individuals in attendance to forget about the company’s problems. Live music and games was the draw and till people were putty in the casino’s hands.
Will there really be change or is it all just smokescreen in hopes that we forget all about it. Have your say in the comment section. For more gambling news from the United States of America, keep your dial locked on casinoUS.com