Wynn Resorts Stock Dives After Founder Is Accused Of Decades-Long Sexual Misconduct
Steve Wynn, the chairman and chief executive of Wynn Resorts and the finance chairman for the Republican National Committee, is accused of repeated sexual misconduct that went on for decades, according to a report by the Wall Street Journal.
Wynn Resorts shares sank more than 10% following the Wall Street Journal report published Friday. The Wall Street Journal contacted more than 150 people who recounted abuse by Wynn.
At least one incident led to a $7.5 million settlement between Wynn and a former manicurist at his resort who said the executive pressured her to have sex with him. A lawsuit brought by Wynn’s ex-wife, Elaine Wynn, which seeks to to lift restrictions on the sale of her stock in Wynn Resorts, references this incident. Wynn’s attorneys said in a court filing that a personal payment was made.
The WSJ discovered numerous accounts from staff, particularly those working in a spa Wynn frequented, who had repeated run-ins with the powerful casino magnate, including one massage therapist who was pressured to perform sex acts.
Wynn has denied the allegations. “The idea that I ever assaulted any woman is preposterous,” he told the WSJ. Wynn, who turns 76 on Saturday, is worth about $3.7 billion, according to the Bloomberg Billionaires Index. Most of his worth is tied to his ownership in Wynn stock. Wynn holds nearly 12% of Wynn Resorts.
Wynn, whose signature is the company’s logo, is considered integral to its success. So much so, that his involvement—or more aptly anything that would reduce his involvement—in Wynn Resorts is cited in a securities filing as a potential risk to the business.
“If we lose the services of Mr. Wynn, or if he is unable to devote sufficient attention to our operations for any other reason, our business may be significantly impaired,” the filing said.