Massachusetts Gaming Commission sets hearing to weigh Wynn penalties
An adjudicatory hearing will be conducted by the Massachusetts Gaming Commission to determine whether Wynn Resorts Ltd. would be penalized in connection with the investigation of sexual harassment allegations against its founder and former CEO, Steve Wynn.
The hearing is expected to be conducted next month.
Four commissioners agreed Thursday to go forward with the hearing, which could take several days to complete. Following the hearing, commissioners would deliberate in a closed session to determine what actions, if any, it would take.
The commission is empowered to suspend or revoke a license or fine the company. Wynn Resorts is building the $2.5 billion Encore Boston Harbor resort on the Mystic River in Everett, Massachusetts, near Boston. The project is expected to be completed in June.
“We continue to support the Massachusetts Gaming Commission’s process,” Wynn Resorts said in an email after the meeting.
Thursday’s meeting was conducted without Stephen Crosby, who resigned late Wednesday because of accusations that he would be biased in reaching a conclusion about Wynn.
Crosby received letters complaining about his ability to conduct a fair hearing from lawyers for Steve Wynn and the operators of Mohegan Sun, a Connecticut-based tribal casino.
In his decision to resign, Crosby also referenced a six-count, $3 billion racketeering lawsuit filed against Wynn Resorts, Steve Wynn and current and former Wynn Resorts executives Sept. 17 by Sterling Suffolk Racecourse LLC claiming that the company coerced regulators into awarding it the eastern Massachusetts gaming license.
Crosby, who served as commission chairman since gambling in commercial casinos was first established in Massachusetts in 2011 and technically was the commission’s first employee, was applauded by fellow commissioners and staff at Thursday’s meeting.
Commissioners agreed by consensus that Commissioner Gayle Cameron would serve as interim chairwoman. Cameron is a retired New Jersey State Police deputy superintendent, the force’s second-highest rank.
Commissioners are expected to formally vote her interim chair at their next meeting.
It’s unclear how long it will take Massachusetts Gov. Charlie Baker to appoint a new chair.
General counsel Catherine Blue outlined the procedure for the adjudicatory hearing.
Blue said the hearing, similar to Nevada’s process on suitability hearings, would start with a report from the commission’s Investigations and Enforcement Bureau. Commissioners can take testimony from witnesses, including Wynn Resorts representatives. But Blue stressed that it won’t be a public hearing at which any member of the public could submit their views.
Blue said the commission could call a hearing over several days or have it all in one day.
At the conclusion of the hearing, the commission would gather in a closed session to deliberate over its course of action.
Once a deliberation is reached, commission staff would prepare a public document, probably within a week, that would be presented at a public meeting.
Commission regulations state that a licensee isn’t entitled to any further review after the commission’s decision, but can appeal to the courts.
Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on Twitter.