Wynn Boston Casino Accused Of Gaing Licence Fraudulently
Sterling Suffolk Racecourse (Sterling) claims the process where Wynn Resorts received a license to establish a casino resort in Boston, Massachusetts was fraudulent. The lawsuit was filed back in September 2018 and Sterling is seeking to recover damages amounting to $3 billion.
The company asserts that the licensing process was marred with fraud. Further, they claim it was filled with cronyism among many improprieties.
Sterling had plenty of evidence to supply to back up their lawsuit. For instance, the suit was recently amended to include Stephen Crosby who is the former chairman of the Massachusetts Gaming Commission (MGC). Sterling claims that Crosby was a long-time friend of one of the owners of the property which was purchased by Wynn Resorts.
This friend who goes by the name of Paul Lohnes is the majority owner of the joint venture of FBT Everett Realty (FBT). FBT is the owner of the property, which Wynn had recently purchased for $75 million. Lohnes and Crosby’s friendship goes back a long time, and Crosby was still the chair of the MGC when the purchase by Wynn was made.
Crosby and Lohnes had allegedly met in 2012, which is around the same time Wynn was looking for a property to establish its casino resort. The Everett site had not yet been marketed for use as a casino.
Influential People Named In Lawsuit
It was also recently discovered that Charlie Lightbody was involved as a partner in FBT. Lightbody reportedly had ties to organized crime. Sterling had also included Carlo DeMaria, the mayor of Everett in the lawsuit.
DeMaria was reportedly involved in the sale of the property and in hiring Lightbody, a convicted criminal to become a consultant for FBT. DeMaria was also accused of receiving kickbacks and a lot of benefits just to make the deal between FBT and Wynn possible. Sterling has been very specific in their political cronyism and conspiracy allegations regarding DeMaria, Lightbody, and the rest of the influential people who were essential in making the deal come into fruition to the exclusion of Sterling.
This is one of several cases that Wynn Resorts is facing. Another issue that the company is facing is the litigation regarding sexual misconduct against the company’s former CEO and founder, Steve Wynn. He is currently being investigated by the Nevada Gaming Control Board. The MGC had also finished its investigations with Steve Wynn, but they are just waiting for the ruling from Nevada before they issue their own statement.