Wynn CEO found suitable, but security chief fired

Wynn Resorts said Nevada regulators had confirmed its CEO Matt Maddox was “suitable” to hold his position after a lengthy investigation into the company following sexual misconduct allegations against founder Steve Wynn.

Wynn said it had received a written response that said Maddox was “found suitable as an officer of Wynn Resorts in Nevada in January 2010 and remains in good standing with the Nevada Gaming Control Board.

Board Chairman Phil Satre welcomed the move and praised Maddox’s role in the efforts to reshape the company in the wake of the scandal, which forced the resignation of Wynn.

“Matt Maddox has the full confidence of me as chairman as well as the entire Board of Directors of Wynn Resorts as our CEO today, tomorrow, and into the future,” he said. “Immediately upon taking over as CEO, Matt led the transformation of our company with a new executive team, new policies and procedures, and a new corporate culture – a transformation the Nevada regulators referred to at a hearing as a total ‘paradigm shift.’  

“No one deserves more credit, or has played a more critical role, in remaking Wynn Resorts as a company and responding to the past failures of now-departed leadership. Matt will do an excellent job leading our team of 25,000 employees worldwide, and with the expected opening of our $2.6 billion Encore Boston Harbor destination resort in Everett, MA.”

The findings come as Massachusetts regulators mull Wynn’s continued suitability to run the Encore given a damning report that found Wynn executives concealed misconduct allegations.

In a separate case, Wynn has reportedly fired its security chief after he was accused of spying on an employee, the Washington Post reports.

James Stern, a former FBI agent, allegedly sent undercover operatives to monitor current and former employees, including former Wynn casino stylist Jorgen Nielsen.