Wynn Resorts shareholders awarded 41m settlement
Wynn Resorts shareholders will receive $41m in a lawsuit settlement regarding allegations against the operator’s former CEO Steve Wynn.
Shareholders began filing lawsuits against the company and its board of directors in 2018, when allegations of Steve Wynn’s sexual misconduct were first reported publicly in the Wall Street Journal.
The eight combined lawsuits accused board members of "disregarding a sustained pattern of sexual harassment and egregious misconduct" by Wynn.
Through the settlement, Wynn Resorts will receive $21m from insurance carriers and $20m from Steve Wynn himself.
The settlement also credits Wynn Resorts with $49m as a result of corporate governance enhancements undertaken after the filing of the lawsuit.
As part of the settlement, the operator agreed to amend its bylaws to separate the role of Chairman and CEO, in addition to requiring a majority shareholder vote for the election or re-election of directors.
A statement released by Wynn Resorts said: "Neither the company nor its current or former directors and officers were found to have committed any wrongdoing in connection with the settlement."
Wynn Resorts has already paid $55m in fines related to the allegations against the former CEO, including a $20m fine from the Nevada Gaming Commission earlier this year.