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2/12/2025 2:24:35 AM
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Wynn Settles with DOJ: $130 Million Forfeited Over Controversial Foreign Betting Practices! What’s Next for the Gaming Giant?


Wynn Settles with DOJ: $130 Million Forfeited Over Controversial Foreign Betting Practices! What’s Next for the Gaming Giant?

Breaking News: Wynn Resorts Settles Major Legal Battles with $130 Million Payment

In a significant turn of events, Wynn Resorts has announced that it has entered into a “non-prosecution agreement” with the U.S. Department of Justice, marking a resolution to a decade-long investigation. This decision comes with a hefty price tag of $130 million, which the company will forfeit to settle allegations tied to transactions at Wynn Las Vegas involving foreign customers and former employees.

The Details of the Settlement

This payment stands out as the largest penalty ever imposed on a Nevada gaming company by the Justice Department, surpassing the previous record set by Las Vegas Sands Corp., which paid $47.4 million in 2013 to avoid criminal charges related to money laundering.

Key Aspects of the Agreement

  • Non-Fine Nature: The payment is classified not as a fine but rather as a forfeiture, primarily linked to the funds involved in the questionable transactions.
  • Cooperation Acknowledged: The Justice Department recognized Wynn's cooperation throughout the extensive investigation that began in 2014.
  • Compliance Enhancements: As part of the settlement, Wynn has committed to enhancing its compliance program, addressing the past issues that led to this investigation.

Background of the Investigation

The investigation focused on various transactions at Wynn Las Vegas that involved certain patrons and former employees implicated in unlicensed money-transmitting businesses. In a recent filing, Wynn stated:

“The actions of these individuals, for which Wynn has accepted responsibility, date back many years and violated Wynn’s compliance policies and procedures. We are pleased that [Wynn] has now resolved this long-standing legal matter.”

Additional Legal Challenges

Wynn Resorts also disclosed a settlement of a class-action lawsuit related to allegations of sexual harassment against former Chairman and CEO Steve Wynn. This lawsuit was initiated by shareholders in February 2018 following reports by the Wall Street Journal. Steve Wynn, who has consistently denied the allegations, resigned from his positions and divested his stock in the company. The settlement resolves all claims against the company and its directors concerning this matter.

Reactions from Regulatory Authorities

After the announcement, Kirk Hendrick, the Chairman of the Nevada Gaming Control Board, acknowledged the non-prosecution agreement but refrained from commenting on whether the agency would pursue its own investigation into the matter.

Conclusion: A New Chapter for Wynn Resorts

With these significant legal hurdles behind them, Wynn Resorts aims to move forward, focusing on compliance and governance to restore trust and stability within the company. As they navigate this new chapter, the industry watches closely to see how they will implement the changes promised in the wake of these controversies.

What do you think?

  • Is the $130 million payment a sign of accountability, or does it reflect a larger issue within the gaming industry?
  • Should Wynn Resorts be held to a higher standard given their history?
  • Will the changes to their compliance program be enough to regain public trust?
  • What impact do you think this settlement will have on other gaming companies facing similar scrutiny?

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Source Credit

Elwood Hill
author

Elwood Hill

Elwood Hill is an award-winning journalist with more than 18 years' of experience in the industry. Throughout his career, John has worked on a variety of different stories and assignments including national politics, local sports, and international business news. Elwood graduated from Northwestern University with a degree in journalism and immediately began working for Breaking Now News as lead journalist.

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