Wynn Resorts shareholder sues company over Steve Wynn allegations

A Wynn Resorts shareholder is suing the company and recently departed CEO Steve Wynn as sexual misconduct allegations continue dogging the casino bigwig.

Lawyers for Norfolk County Retirement System accuse the board of directors of ignoring the alleged misdeeds, news of which have caused financial losses for the gambling powerhouse.

The 42-page derivative lawsuit was filed in Clark County District Court late Tuesday, around the same time Wynn announced he’d step down from the company he established.

RELATED: Wynn Resorts CEO Steve Wynn through the years

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Wynn Resorts CEO Steve Wynn through the years
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Wynn Resorts CEO Steve Wynn through the years
Las Vegas casino magnate Steve Wynn (R) gestures at Macau's Tourism Activities Centre as he starts negotiating with government officials a final contract for his new gaming concession in the enclave, February 20, 2002. Macau dealed out earlier in the month three new gambling concessions, a move marking the end of a gaming monopoly set up by the former Portuguese colonial rulers in 1937. REUTERS/Bobby Yip BY/CP
Steve Wynn smiles as he waits to talk to people at the American Institute of Architects convention in Las Vegas. Wynn Resorts Chairman Steve Wynn smiles as he waits to talk at the Wynn Las Vegas to people in town for the American Institute of Architects convention in Las Vegas May 19, 2005. REUTERS/Las Vegas Sun/Ethan Miller
Wynn Las Vegas Resorts Chairman and CEO Steve Wynn stands next to a puppet modeled after himself during a news conference for the Broadway musical "Avenue Q" at the Wynn Las Vegas Resort in Las Vegas, Nevada, August 16, 2005. Winner of three 2004 Tony awards, the show previews at the resort in the Wynn's 1,200-seat Broadway Theater on August 27. REUTERS/Las Vegas Sun/Steve Marcus SM/PN
Casino Developer Steve Wynn takes a rest before receiving his honorary degree at the 250th commencement exercise of the University of Pennsylvania, in Philadelphia, Pennsylvania, May 15, 2006. Wynn, who graduated from the University of Pennsylvania in 1963, was awarded the honorary Doctor of Laws degree by the University. REUTERS/Tim Shaffer
Donald Trump (L) and Steve Wynn talk before the start of Game 7 of the NLCS playoff baseball series in New York in this October 19, 2006 file photograph. Picture taken October 19, 2006. REUTERS/Andrew Gombert/File (UNITED STATES)
Casino mogul Steve Wynn smiles during a news conference inside a restaurant of 'Wynn Macau' in Macau September 5, 2006. The 20-story hotel and casino, located on the waterfront in Macau, is modelled after Wynn's curved-tower in Las Vegas. REUTERS/Bobby Yip (HONG KONG)
Steve Wynn, president and CEO of Wynn Resorts, speaks at the panel titled "Steve Wynn on Building and Sustaining Great Customer Service" at the 2008 Milken Institute Global Conference in Beverly Hills, California April 29, 2008. REUTERS/Fred Prouser (UNITED STATES)
Steve Wynn, chairman and CEO of Wynn Resorts, speaks at a panel discussion "CEO Conversation: Past, Present and Future of Las Vegas With Steve Wynn" at the 2009 Milken Institute Global Conference in Beverly Hills,California April 28, 2009. REUTERS/Fred Prouser (UNITED STATES BUSINESS)
U.S. casino magnate Steve Wynn, head of Wynn Resorts Ltd and Wynn Macau Ltd, introduces the company's latest casino resort during a news conference in Macau June 5, 2012. Wynn said on Tuesday that the company's latest casino resort in the former Portuguese enclave will cost $4 billion, as it bets on continued growth in the world's largest gambling destination. REUTERS/Bobby Yip (CHINA - Tags: BUSINESS)
Donald Trump, Heidi Klum and Steve Wynn during The Associates Committee of The Society of Memorial Sloan-Kettering Cancer Center Host 'A Wynning Hand' at Sotheby's in New York City, New York, United States. (Photo by Carley Margolis/FilmMagic)
Billionaire Steve Wynn, chairman and chief executive officer of Wynn Resorts Ltd., left, and wife Andrea Hissom arrive to an event in the East Room of the White House in Washington, D.C., U.S., on Wednesday, July 26, 2017. President Donald Trump announced that Foxconn Technology Group plans a new factory in Wisconsin, fulfilling the Taiwanese manufacturing giants promise to invest in the U.S. Photographer: Andrew Harrer/Bloomberg via Getty Images
Steve Wynn, Chairman and CEO of Wynn Resorts, speaks during the Milken Institute Global Conference in Beverly Hills, California, U.S., May 3, 2017. REUTERS/Mike Blake
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“Wynn knowingly and intentionally breached his fiduciary duties by engaging in a pattern of intentional egregious misconduct and violations of law involving Wynn Resorts,” the Massachusetts-based pension fund alleged in its suit.

The shareholder is seeking an unspecified amount in damages for what it says was a breach of trust by Wynn, top executive Kimmarie Sinatra and nine members of the board of directors.

The suit cites a Wall Street Journal report last week that Wynn repeatedly acted improperly — notably a $7.5 million settlement he reached in 2005 with a manicurist.

Board members, the lawsuit charges, kept giving the green light to gaming license applications that concealed Wynn’s alleged misdeeds to authorities.

Wynn — who owns a 12% stake in the resorts company worth about $2.4 billion — has denied the claims against him.

The pension fund’s lawsuit also alleges nine of the board members named in the suit held close relationships with Wynn — implying they couldn’t act free of the 76-year-old tycoon’s will.

A spokesman for the company didn’t immediately return a request for comment.

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