MGM said good fit for Wynn site near Boston

Springfield project would have to go

MGM Resorts International could generate higher returns on investment if it acquired Wynn Resorts Ltd.’s unfinished Boston Harbor project, a gaming industry analyst told investors Monday.

John Decree of Las Vegas-based Union Gaming said an MGM move into Boston makes sense for both MGM and Wynn, but a major obstacle stands in the way: Massachusetts gaming regulations prohibit a company from having more than one license to operate, and MGM is just months away from completing its $960 million resort in Springfield in western Massachusetts.

Is MGM interested in acquiring Wynn Boston Harbor, the $2.4 billion project in Everett on the Mystic River? MGM officials “will not comment on rumors and speculations,” a company representative said in response to an emailed inquiry Monday.

Wynn CEO Matt Maddox declined to be interviewed Monday, but he told the Massachusetts Gaming Commission on Thursday that he’d be compelled to listen to offers for the Boston Harbor property. The company faces an ongoing investigation into allegations of sexual misconduct by the company’s former chairman and CEO,

WYNN

renominated to a position on the company’s board of directors in 2015 because she was raising questions about misconduct by company executives. Her lawsuit sought $460 million in compensation.

Court and company observers were expecting a settlement to occur after damaging testimony that was presented in open court in March. District Judge Elizabeth Gonzales ruled late in the month that the testimony

would be allowed in the civil case.

In testimony before Gonzales, attorneys for Elaine Wynn hinted at a second settlement with an alleged sexual harassment victim and that the company fired two executives for illegal sports wagering and other alleged executive misconduct.

A deposition detailed in a court hearing also said Steve Wynn skipped his company’s sexual harassment training sessions. According to the deposition, when asked whether he attended, Wynn replied, “No, I don’t need it.”

Steve Wynn resigned as chairman

and CEO on Feb. 6 following numerous news reports about alleged sexual misconduct with female employees over several decades. He vehemently denies harassing any employee.

Regulators in Massachusetts, Nevada and Macau, as well as a special committee of independent board members, are investigating the sexual harassment allegations.

The company is about a year away from completing its $2.4 billion Wynn Boston Harbor resort in Everett, Massachusetts.

Last week, Steve Wynn, through an

attorney, said he wouldn’t respond to any more of the Massachusetts Gaming Commission’s inquiries about the allegations, because he’s no longer licensed and has no financial interest in the company he co-founded.

Commissioners said Thursday the investigation would continue and they’ll consider Wynn’s assertion that he’s no longer a “qualifier” as part of the project.

Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702477-3893. Follow @Rickvelotta on Twitter.