Former Wynn execs mishandled harassment complaints, report finds
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Wynn Resorts is building this casino in Everett.
The Massachusetts Gaming Commission's investigation into sexual misconduct allegations against Steve Wynn and the handling of those allegations by Wynn Resorts found that some executives knew of the allegations, did not take steps to address them and, in some cases, actively worked to cover them up.
The long-awaited investigative report from the commission's Investigations and Enforcement Bureau was released ahead of the start of what is expected to be a multi-day hearing on Wynn Resorts' suitability.
The report will form the foundation of the commission's coming decision on whether to allow Wynn Resorts to keep its lucrative Boston-area casino license,
"The IEB investigation shows that over a course of years, a limited group of executives and employees in positions of authority at the Company, including in the legal divisions, were aware of certain allegations of sexual misconduct against Mr. Wynn involving employees, but they disregarded Company policies when it came to handling those allegations," the report's executive summary says.
"The investigation also shows that in some instances particular Company executives, with the assistance of outside counsel, were part of affirmative efforts to conceal allegations against Mr. Wynn that came to their attention," the report also states.
Investigators said their inquiry uncovered a number of failures, including the failure to apply company policies to Steve Wynn, a failure to document allegations against Steve Wynn in a personnel or centralized file and a failure to report allegations to the company's board of directors.
Those failures "potentially diminished the Company's ability to safeguard the well-being of its employees."
Day one of the hearing is slated to begin at 10 a.m. at the Boston Convention and Exhibition Center and the proceedings are expected to begin with a presentation of the findings from the Investigations and Enforcement Bureau and chief investigator Karen Wells.
Wynn Resorts also will have an opportunity to present to the commission, and will likely highlight the changes the company has made since the Wall Street Journal detailed Steve Wynn's alleged "decades-long pattern of sexual misconduct" more than a year ago.
"Wynn Resorts is a different company," the organization declared in documents that lay out the changes at the company since Steve Wynn departed.
Soon after the IEB report was released Tuesday morning, Wynn Resorts went live with a website offering details on changes at the company in the last year.
The company's board of directors is entirely new and all the executives identified in a Nevada Gaming Board report as having had knowledge of Steve Wynn's alleged acts have left the company, per Wynn Resorts. Everyone who was responsible for disclosing a settlement involving Steve Wynn and one of his alleged victims to the Mass. Gaming Commission is also gone, and only Matt Maddox, now the company's CEO, remains from the company's original list of qualifiers.
Once the hearing gets underway, commissioners can ask questions of either side.
"The burden is on the licensee to prove continued suitability," Gaming Commission Executive Director Edward Bedrosian told reporters last week.
Once the hearing concludes, the five commissioners will deliberate in private and issue their decision in writing. It's unclear how long that could take following the conclusion of the hearing this week.
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