Regulators fine Wynn Resorts $20M over sex allegations

LAS VEGAS (AP) — Nevada gambling regulators fined casino mogul Steve Wynn's former company a record $20 million today for failing to investigate claims of sexual misconduct made against him before he resigned a year ago.

The penalty against Wynn Resorts Ltd. ends an investigation that began after The Wall Street Journal reported several women said the company founder harassed or assaulted them.

Wynn Resorts will keep its gambling license under the Nevada Gaming Commission settlement reached last month that left the amount of a fine to be determined by the four current commissioners.

The fine tops the previous highest in state history: $5.5 million in 2014 against the sports betting and mobile gambling system company now known as CG Technology. It runs sports betting operations at several Las Vegas casinos.

Steve Wynn himself is not part of the Wynn Resorts settlement.

He resigned as board chairman and company CEO in February 2018 following reports that several women said he harassed or assaulted them. Wynn also sold his shares in the company. He has denied the allegations.

Wynn Resorts acknowledged in the settlement agreement that several former board members and executives knew about but failed to investigate complaints including one that led Wynn to pay $7.5 million in 2005 to a former salon employee who alleged he raped her and that she became pregnant as a result.

"Mr. Wynn ... engaged in intimate and sexual conduct with (company) employees," the company acknowledged in settlement documents.

Documents say the company also failed to investigate a cocktail server's allegation that from 2005 to 2006 Wynn pressured her into a nonconsensual sexual relationship. Wynn paid a $975,000 private settlement to that woman and her parents, the settlement states.