Popular Nevada-based casino and hotel operator Wynn Resorts Ltd. was reported to have been investigated by the Manhattan and Las Vegas U.S. Attorney’s offices together with representatives of the Internal Revenue Service and Drug Enforcement Administration. The company has been suspected of breaching money-laundering laws.
Currently, American authorities seem to be thoroughly scrutinizing the measures that casinos take against money laundering. Regulatory bodies have been pointing at the gaming venues’ weaknesses, concerning the above-mentioned matter, since, after all, their activity involves the transaction of millions of dollars internationally.
Wynn Resorts, owned by Steve Wynn, is the third Las Vegas-based gaming company that has been probed for potential breach of money-laundering laws in the last few years.
Michael Weaver, marketing senior vice president at Wynn, stated that they were not aware of any investigation being carried out.
It was reported that back in August, the IRS sent a letter to Donald Campbell, lawyer of the company, requesting information about its American and overseas customers (asking for their names, birth dates, Social Security numbers and other personal details) and marketing divisions. What is more, the regulatory body insisted on being given details about Wynn’s hundred biggest sponsors within North America as well as fifty biggest in each of the following three regions: Asia, Europe, and Latin America.
The gambling company also needed to give full account on its managers, casino staff, and specifically the employees that were responsible for credit operations.
Mr. Weaver stated that Wynn being asked to provide this type of information, did not mean that it was accused of anything. He also ensured that they are always keen on helping authorities.
Reportedly, the main purpose of the investigators was to find out whether the Las Vegas-based casino breached the law either through sports betting, or casino activities with VIP players.
In other words, regulatory bodies were concerned that the gaming venue might have been used for laundering drug-trafficking profits, for instance. Yet, it is important to mention that the scrutiny is only at its earliest stages and nothing has been proved yet.
From 1985 on, casinos have been required to report on any considerable money transactions by clients. In addition, they were also asked to notify the respective regulatory bodies for any suspicious activities.
Las Vegas Sands Corp. and Caesars Entertainment Corp. have also been recently probed for any potential violation of money-laundering laws.
Earlier in 2014, Wynn has been subject to yet another investigation. Back in July, the company was suspected of corruption activities, concerning its acquisition of Chinese land, where its $4.1-billion casino resort was to be built.
What is more, the U.S. Department of Justice announced back in April 2013 that it was investigating Wynn’s intention to donate a considerable amount of money to the University of Macau. Mr. Weaver’s comment on the matter was that they were not informed about any scrutiny being conducted. The Department of Justice, however, did not make any public announcements.
