Wynn Resorts Pays $35.5M In Massachusetts Fines
The operator of what will be Massachusetts’ largest casino resort has paid the state a hefty fine levied over how it handled reports of its founder’s alleged sexual misconduct.
Wynn Resorts paid $35.5M — $500K of which was levied on CEO Matthew Maddox — to the Massachusetts Gaming Commission ahead of a May 31 payment deadline set by the gaming regulator. The payment enables the $2.6B Encore Boston Harbor to open by its planned June 23 debut. Wynn Resorts did not exercise its option to appeal the MGC fine, but the company made clear it isn’t happy with Massachusetts' punishment against its current leader, the Boston Herald reports.
“The Board of Directors disagrees with a number of the Commission’s comments and conclusions regarding Matt, and believes they are not supported by the evidence,” Wynn Resorts said in a statement to the Herald. "Therefore, we would support his decision to exercise his rights and appeal the fine imposed upon him, and believe he would rightly prevail in his appeal. However, that appeal would delay the final conclusion of this matter, and therefore we appreciate Matt’s decision to (forgo) an appeal in order to allow closure for the Company."
The MGC ruled in April that Wynn Resorts could keep its gaming license despite fining the company $30M and Maddox $500K for how they handled years of sexual misconduct allegations against ex-CEO Steve Wynn. The fallen casino mogul has denied any wrongdoing. Nevada fined the company $20M after its own investigation into the allegations.
Wynn confirmed earlier this month it was in preliminary sales talks with MGM Resorts for the Everett casino, and analysts felt it may have been over the company feeling Massachusetts overreached in its punishment, which included the stipulation Maddox get management training. Sales talks between the companies have since been called off, and Wynn maintains it is well-positioned for a late June opening for Encore Boston Harbor.
