In a conversation about casino moguls, the name Steve Wynn certainly comes up, along with mega casino resort brands like Bellagio and Mirage. However, when we speak of Steve Wynn moving forward, it will be linked to sexual misconduct.
Two weeks ago, the Wall Street Journal published a slandering article regarding sexual misconduct and harassment by Wynn. At first, Wynn Resorts and Wynn stood strong and denied the claims, but Wynn has folded and resigned. Read on for more.
Sexual Misconduct – #metoo
Last year, accusations and allegations of sexual misconduct in entertainment, politics and media gained momentum. In fact, this was spurred on after articles disclosed years of harassment and rape committed by Hollywood producer Harvey Weinstein. It prompted the #metoo campaign, where women revealed their horrific experiences.
However, Wynn is the first founder and CEO of a major publicly traded company to face similar allegations. The ripple effect of this scandal has resulted in Wynn stocks plummeting, in addition, gaming regulators in Macau, Nevada and Massachusetts are conducting investigations to determine if Wynn Resorts are appropriate license holders.
Steve Wynn Responds
In an extremely thoughtful and considerate statement, Wynn said: “as I have reflected upon the environment this has created- one in which a rush to judgement takes precedence over everything else, including the facts – I have reached the conclusion that I cannot continue to be effective in my current roles.”
Wynn has said that this scandal is the brainchild of his ex-wife, who is seeking to revise her divorce settlement. However, her lawyers have denied this claim.
A day after the article was published, he resigned as finance chair of the Republican National Committee. In contrast to his resignation from Wynn Resorts, which only happened yesterday.
The Response from Wynn Resorts
Prior to his resignation, Wynn and the board enlisted the help of prominent international law firm – O’Melveny & Meyers.
According to the statement released by O’Melveny & Meyers, a hotline and online will be used. The lines will be used by current and former employees who have information on the case. Incidentally, the hotline that will be used is also the same line that employees could anonymously report sexual harassment or misconduct. However, a statement from Wynn Resorts revealed that to date there has never been a complaint regarding Steve Wynn.
The board reluctantly accepted Wynn’s resignation and appointed Matt Maddox as CEO. Stayed tuned to our blog page for more on this story.