Wynn Macau removes director for alleged bribery

Feb 24, 2012, 10:45 GMT

Macau - The Macau arm of casino operator Wynn Resorts Limited on Friday announced its board had voted to immediately remove Japanese businessman Kazuo Okada amid allegations he had made improper payments to gambling regulators in the Philippines.

In a statement from Wynn Macau, the board said the decision to remove Okada as a director was taken unanimously based on disclosures of an investigation commissioned by the compliance committee of its parent company Wynn Resorts Ltd.

'After due consideration of the independent report, taking into account the company's high ethical standards, the board determined that it was obligated to remove Mr Okada as a non-executive director given the unacceptable conduct by Mr Okada, his employees and associates detailed in the independent report,' the statement said.

The decision followed a move Sunday by parent company Wynn Resorts Ltd to force out Okada, its vice chairman and largest shareholder, by buying his 20-per-cent stake at a 30-per-cent discount, because of the investigation.

The year-long investigation, headed by former FBI director Louis Freeh and former Nevada governor Robert Miller, accused Okada of giving payments and gifts valued at 110,000 US dollars to officials of the Philippines Amusement and Gaming Corp.

Wynn Resorts reportedly said Okada had claimed that the gifts, allegedly a violation of the US Foreign Corrupt Practices Act, were permissible in Asia.

Okada's company Universal Entertainment was granted a provisional licence in 2008 to build and operate casinos in Manila Bay in the Philippines.

He has called the move to oust him 'outrageous.'

The Philippine Amusement and Gaming Corporation has denied its officials received cash gifts but admitted that many received free hotel accommodation during conventions abroad, claiming that this was normal practice.

The events of this week mark the latest twist in the unravelling of the longtime partnership between Okada and Steve Wynn, co-founder of Wynn Resorts.

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