Elaine Wynn, former wife of Steve Wynn and co-founder of Wynn Resorts, filed a lawsuit on Monday to obtain control over her nearly 10 percent stake. Reports say the Elaine Wynn filed the complaint in Nevada State Court of her Wynn Resorts stake which is worth close to $900 million.
According to Nasdaq, Elaine Wynn is Wynn Resorts' third largest shareholder and a former member of the board. She claimed that she wanted to gain control of her stake and to make decisions about her investment like any other stockholder.
Elaine Wynn claimed her ex-husband manipulated her ouster from the Wynn board of directors in retaliation for asking questions about the absence of internal controls, reckless activity of the CEO, withholding necessary information from the board, and her absence of internal controls. As a result of her removal from the board, Elaine Wynn no longer has a meaningful avenue to protect her economic interest in Wynn Resorts, says the Review-Journal. She said she had no choice but to bring the matter in the court and proceed with legal action.
She also claimed that Steve Wynn violated a 2010 stockholder agreement by orchestrating her ouster last April. Elaine Wynn is seeking to void the agreement so she can take control of her stock and plan her estate to benefit her daughters while stopping his former husband from misusing the agreement to exert "full and perpetual control" over her legacy.
Reuters reported that Steve Wynn controls 11.8 percent while Elaine Wynn controls 9.4 percent of the stock in Wynn Resorts. A spokesman of Steve Wynn described Elain Wynn as "a disappointed ex-wife who is seeking to tarnish the reputation of Steve Wynn and Wynn Resorts." The spokesman added that the lawsuit was filed with lies and distortions.
Wynn Resorts controls properties including, Encore at Wynn Las Vegas, Wynn Macau, and Wynn Las Vegas. Steve Wynn also helped develop other Las Vegas hotels including the Mirage, Treasure Island, and Bellagio.
The court papers show that the Wynns married in 1963, divorced in 1986, remarried in 1991, and divorced again in 2010.
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