GGRAsia – Wynn Resorts in US$130mln settlement over money transfers

Wynn Resorts in US$130mln settlement over money transfers

Sep 09, 2024 Newsdesk Latest News, Top of the deck, World

United States-based casino developer Wynn Resorts Ltd said on Friday that its subsidiary Wynn Las Vegas LLC had signed a non-prosecution agreement (NPA) with the U.S. Department of Justice (DOJ) and the Attorney’s Office for the Southern District of California.

Under the deal, the group will forfeit US$130 million to resolve a 10-year-old investigation into transactions at Wynn Las Vegas that were related to foreign customers, the casino firm said in a filing.

The payment – made with the funds involved in the transactions – is said to be the largest penalty a Nevada gaming company has paid to the DOJ to settle an investigation.

The deal resolves an “investigation into various transactions at Wynn Las Vegas relating to certain patrons who reside or operate in foreign jurisdictions which were facilitated by former employees, agents and other third parties that were unlicensed money transmitting businesses,” stated Wynn Resorts in a filing with the U.S. Securities and Exchange Commission.

Pursuant to the NPA, Wynn Las Vegas also committed “to make certain enhancements to its compliance programme,” it added.

Aside from Wynn Las Vegas and Encore in Nevada, Wynn Resorts also runs casino resorts in Massachusetts in the U.S., as well as Wynn Macau and Wynn Palace in the Macau market via Wynn Macau Ltd.

According to Friday’s announcement, “the DOJ agreed that, subject to Wynn Las Vegas’ fulfillment of its obligations under the NPA, it will not bring any criminal charges against Wynn Las Vegas concerning the subject matter of its investigation, subject to standard reservations of rights and certain reserved claims”.

Wynn Resorts said that in reaching the resolution, the DOJ took into account several points, including Wynn Las Vegas’ “extensive remedial measures,” and the fact that the subsidiary “no longer employs or is affiliated with any of the individuals implicated in the transactions”.

“The NPA resolves all prior U.S. federal regulatory inquiries commenced in or about 2014 regarding compliance by Wynn Las Vegas” with existing regulations, added the statement.