Wynn Resorts To Keep MA Casino, Fined $35M

EVERETT, MA — Wynn Resorts will get to keep its resort and casino in Everett, the Massachusetts Gaming Commission ruled this week. The commission spent more than a year investigating the company's "suitability" to hold a gaming license in Massachusetts following allegations of sexual misconduct against its founder, Steve Wynn.

Wynn denied the allegations but stepped down as chairman and CEO and sold his shares last year. The company has since taken steps to distance its $2.6 billion resort and casino in Everett from its namesake, changing the name to Encore Boston Harbor and pledging to make its staff 50 percent women. It also successfully removed Steve Wynn as a "qualifier" for the license.

Gaming officials found "numerous violations of controlling statutes and regulations largely pertaining to a pervasive failure to properly investigate in accordance with existing policies and procedures, and to notify the Commission about certain allegations of wrongdoing," but elected not to pull Wynn's license a month before its resort is set to open.

The MGC fined Wynn Resorts $35 million and fined CEO Matt Maddox $500,000. Additional stipulations include the separation of chair and CEO for at least 15 years; a Wynn Resorts-funded independent monitor to conduct a review and evaluation of all policies and organizational changes adopted by the company; the providing of attendance records of both board and committee meetings to the MGC; the reporting of civil or criminal complaints filed against a qualifier to the MGC; and harassment prevention training for new employees within three months.

"Ensuring public confidence in the integrity of the gaming industry and the strict oversight of the gaming establishments through rigorous regulation is our principal objective, Chair Cathy Judd-Stein. "Our licensees will be held to the highest standards of compliance, including an obligation to maintain their integrity. The law of Massachusetts affords the Commission significant breadth in our decision making. With that comes an equally significant duty of fairness. We are confident that we have struck the correct balance and met our legal and ethical burdens."

Encore Boston Harbor is set to open June 23.