Elaine Wynn, the ex-wife of Steve Wynn, the founder of Wynn Resorts Ltd has resumed her fight to reclaim control of her shares in the multi-billion dollar casino enterprise. She has been blocked from selling the 10 million shares she owns in the company because of an agreement that she entered into with her former husband and his ex-business partner Kazuo Okada.
Elaine Wynn filed a new petition in a Nevada Court this week seeking to be released from the agreement saying that she should not be held to the terms of the agreement after a similar agreement that bound Okada was rescinded. Wynn Resorts had forcibly redeemed Okada’s shares representing 20 percent stake in the company after he was accused of making irregular payments to gambling regulators in Philippines. Japanese billionaire Okada has refuted the accusations.
According to Elaine Wynn, once Okada was divested of his shares the agreement binding her was also invalidated. She is additionally claiming compensation and damages from her ex-husband in her lawsuit.
She is claiming that she was removed from the company’s board by her ex-husband in retaliation for raising questions of the rampant mismanagement of the casino’s operations.
She has also alleged that Steve Wynn made a multi-million dollar payment to settle accusations of serious misconduct with a casino employee on company property.
Steve Wynn has said that Elaine’s fresh lawsuit was aimed at damaging his reputation. In a statement, a spokesman for Steve Wynn said
This lawsuit is filled with lies and distortions and is an embarrassment to Ms. Wynn and her counsel. This is simply an attempt to inflict personal pain on Mr. Wynn. Ms. Wynn is a disappointed ex-wife who is seeking to tarnish the reputation of Wynn Resorts and Steve Wynn and their daughters
According to the spokesperson, Elaine Wynn had been aware since 2009 of the settlement that Mr. Wynn had entered with the company employee using his personal funds and had so far not raised it in any of the subsequent board meetings she had attended.
Both the Wynns have shares adding up to a stake of 21 percent in the casino enterprise.
Elaine Wynn received the 10 million shares as a part of divorce proceedings in 2009 which made her eligible to receive half of all their combined assets. The shares are now worth about $1 billion.