Steve Wynn, the billionaire gaming mogul who trashed tribes as he pursued a commercial casino in Massachusetts, stepped down from his namesake company after
The
Wall Street Journal reported on numerous allegations of sexual misconduct against him.
Wynn's resignation, however, won't affect an ongoing investigation of the
Wynn Boston Harbor. The
Massachusetts Gaming
Commission is reviewing the $2.4 billion project due to the allegations, which include a $7.5 million sexual misconduct settlement that was executed during the licensing process for the casino.
"In the last couple of weeks, I have found myself the focus of an avalanche of negative publicity," Wynn said in a
statement. "As I have reflected upon the environment this has created — one in which a rush to judgment takes precedence over everything else, including the facts — I have reached the conclusion I cannot continue to be effective in my current roles."
Wynn Boston Harbor is under construction in Everett, a city near Boston. It's due for completion in 2019 but the company faces the loss of its license as part of the investigation. Fines are also possible.
Wynn Resorts
won the license for the casino in the eastern region of the state
after Wynn criticized the
Mohegan
Tribe, a rival bidder. He claimed that the tribe was going to
encourage
big spenders to gamble at its existing casino in neighboring Connecticut.
“What do you think they’re going to do when it comes time to move a big
customer, pay 25 percent to Massachusetts, or shovel them off to Mohegan Sun in
Connecticut where they pay nothing," Wynn told the Massachusetts Gaming
Commission, Bloomberg News reported in January 2014. He was referring to the
25 percent tax
rate imposed on commercial casinos in Massachusetts, glossing over the fact
that the tribe shares 25 percent of slot machine revenues under its Class III
gaming compact in Connecticut.
Wynn even
tried
to lower his tax rate, citing competition from the
Mashpee Wampanoag
Tribe. He said he shouldn't be forced to pay any more than the tribe, whose
compact includes revenue sharing rates between 15 percent and 21 percent.
“A Wampanoag casino in Taunton would be a mere 40 miles from our proposed
investment in Everett and a real alternative for our patrons,” Wynn's company
told the Massachusetts Gaming Commission stated, The Boston Herald reported in
January 2014. “All (resort casinos) should operate pursuant to the same economic
terms with the same tax applied to all operators of the same type of facility."
Wynn's argument failed to differentiate his project, authorized under
state law, from the tribe's. The
Indian
Gaming Regulatory Act bars states from taxing tribal process, although
tribes across the nation have entered into compacts to share a portion of their
revenues with states.
Wynn, whose net worth is reported to be $3.5 billion, has denied the
allegations against him. He resigned his position as finance chairman for the
Republican
National Committee as GOP politicians distanced him, and his money, from
their campaigns.
Read More on the Story:
Steve Wynn Steps Down as Wynn Resorts CEO
(The Wall Street Journal February 7, 2018)
Steve Wynn resigns as chair and CEO of Wynn resorts
(The Boston Globe February 7, 2018)
Casino mogul Steve Wynn resigns as CEO of Wynn Resorts amid sexual misconduct allegations
(The Associated Press February 7, 2018)
Embattelledd
Steve Wynn resigns as chairman and CEO of Wynn Resorts
(The Las Vegas Review-Journal February 6, 2018)
Steve Wynn Resigns From Company Amid Sexual Misconduct Allegations
(The New York Times February 6, 2018)
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