More details emerge in Las Vegas Sands Corp. $42.5 million lawsuit settlement
The Review-Journal reported Aug. 1 that Las Vegas Sands Corp. agreed to pay three men $42.5 million to settle a lawsuit in June.
In the casino operator’s quarterly submission to the Securities and Exchange Commission that was filed Friday, more detail was revealed.
Clive Basset Jones, Dax Turok and Cliff Cheong sued Las Vegas Sands and several subsidiaries in January 2006, saying the company breached an agreement to pay a success fee in an amount equal to 5 percent of the ownership interest in the casino operator’s Macau gaming subconcession, as well as other related claims.
On June 3, Las Vegas Sands settled the matter for $42.5 million, of which $12.5 million has been paid, according to the SEC filing. Las Vegas Sands will pay the remaining $30 million next March. The company charged the matter to its corporate expenses in the second quarter that ended June 30.
Las Vegas Sands doesn’t expect to incur any further charges in connection with this lawsuit.
The company, however, has two other legal matters in connection with its Macau licensing process still pending.
Las Vegas Sands is appealing to the Nevada Supreme Court a May 2008 Clark County jury verdict in favor of Hong Kong businessman Richard Suen, who was awarded $43.8 million for helping the company in its licensing. Prejudgment interest increased the award to $58.6 million.
A lawsuit filed by Asian American Entertainment Corp., the company that originally partnered with Las Vegas Sands in Macau, is still pending U.S. District Court in Nevada.
