The Massachusetts Gaming Commission has said it will allow Wynn Resorts (NASDAQ:WYNN) to retain its gaming license, but announced Tuesday evening it will fine the company $35 million.
The decision clears the path for the global casino company to open its $2.6-billion property Encore Boston Harbor in Everett, Massachusetts, in June.
Wynn Resorts said that it is "in the process of reviewing that decision and considering the full range of our next steps."
Regulators had tackled serious questions about the company’s suitability after investigators determined the company repeatedly and over years had turned a blind eye to employees’ accusations of rape, sexual harassment and other misconduct against founder and then-CEO Steve Wynn. He has said he had romantic relationships with workers but has consistently denied any coercion.
The company had defended itself by saying that it separated from its CEO shortly after the allegations were made public in The Wall Street Journal in January 2018. Wynn resigned on Feb. 6 that year and sold his entire stake by mid-March.
Wynn Resorts had contended the company is no longer about a single man. Executives and board members argued strenuously the company had reinvented itself, with new leadership, a new board with three new women as directors, new policies and a new commitment to transparency with regulators.
The MCG decision spares Wynn resorts from the much more damaging fate of losing its gaming license. The commission acknowledged all the internal changes and said, "Wynn is likely to be a successful operator in Everett."
WYNN shares screamed higher $4.03, or 2.8%, to $148.48
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