Lawsuits against Steve Wynn Keep Piling as Oregon Sues Disgraced Billionaire

The state of Oregon is suing Steve Wynn and the board of Wynn Resorts in a latest of a series of lawsuits filed by shareholder groups against the embattled businessman and the company he found.

The civil case was filed Tuesday in a Clark County, Nevada district court. The offices of Oregon State Attorney General Ellen Rosenblum and Treasurer Tobias Read are suing Mr. Wynn and the board of directors of Wynn Resorts for breaches of fiduciary duty to the company and its shareholders and for the board’s alleged failure to intervene and act against a long-standing pattern of sexual misconduct and harassment of employees.

It was reported that Oregon’s pension system had 8,506 shares of Wynn Resorts worth around $1.3 million. In its lawsuit, the state argued that the sexual misconduct allegations against Mr. Wynn and the board’s failure to take due measures has hurt the company’s profitability and its shareholders.

Pennsylvania’s Miscellaneous Pension Fund and Operating Engineers Construction Industry as well as the Norfolk County Retirement System in Massachusetts were also among the shareholder groups to have filed lawsuits against Mr. Wynn and the board of Wynn Resorts.

The lawsuits are seeking monetary damages for the tumbling Wynn Resorts share price after sexual misconduct and harassment allegations against Mr. Wynn emerged, and the potential removal of members of the company’s board for their failure to act properly.

Lawsuits from Employees

Lawsuits against Mr. Wynn and Wynn Resorts have been piling over the weeks after the allegations surfaced. Apart from shareholder groups, former and current employees of Wynn Resorts have also filed lawsuits.

News about Mr. Wynn allegedly subjecting female employees of his company to unwanted sexual advances and coercing them into performing sexual acts first appeared in a detailed report by the Wall Street Journal.

The disgraced businessman denied to have ever forced anyone into having sex with him and argued that the allegations were the result from a campaign orchestrated by his former spouse Elaine Wynn. Mr. and Mrs. Wynn have been embroiled in a years-long divorce as Mrs. Wynn has been seeking to regain control over her Wynn Resorts’ stock after she was ousted from the company’s board in 2015.

The latest of a wave of lawsuits by Wynn Resorts staff members against their boss was filed on Tuesday. A manicurist at the company’s Las Vegas properties said that she has been harassed by Mr. Wynn, while performing manicure, pedicure, and salon services on him. According to the lawsuit, the businessman kept booking services after the publication of the Wall Street Journal’s story. However, those were performed at his two-story villa at the Wynn Las Vegas resort.

Mr. Wynn resigned as CEO and Chairman of the casino operator in early February and was left without severance pay and compensation under the terms of his termination agreement with Wynn Resorts. The businessman will also have to move out from his villa by June 1.

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