On December 4, 2018, Pomerantz was appointed Lead Counsel in a securities class action on behalf of investors who purchased Wynn Resorts Limited ("Wynn Resorts" or the "Company") securities from February 28, 2014 to January 25, 2018, both dates inclusive (the “Class Period”).
Wynn Resorts owns and operates luxury hotels and destination casino resorts. The complaint alleges that throughout the Class Period, defendants falsely touted the Company’s business operations and prospects, while failing to disclose that the Company’s founder and CEO, Stephen (Steve) A. Wynn had engaged in a pattern of sexual misconduct with respect to Wynn Resorts employees, including instances of sexual assault.
On January 26, 2018, The Wall Street Journal published an article entitled "Dozens of People Recount Pattern of Sexual Misconduct by Las Vegas Mogul Steve Wynn." According to the article, "dozens of people… who have worked at Mr. Wynn's casinos told of behavior that cumulatively would amount to a decades-long pattern of sexual misconduct by Mr. Wynn," with some accusing him of pressuring employees "to perform sex acts." On these revelations, the Massachusetts Gaming Commission announced that it would open a regulatory review into the Company over the sexual misconduct allegations reported in The Wall Street Journal article.
On this news, Wynn Resorts share price fell $20.31 or 10.12%, to close at $180.29 on January 26, 2018.