Wynn says Aruze is still his partner

Tuesday, May 29, 2001 | 10:35 a.m.

Casino developer Steve Wynn says that despite its legal troubles, Japanese gaming equipment manufacturer Aruze Corp. is still his partner in the mega-resort he plans at the site of the Desert Inn hotel-casino on the Las Vegas Strip.

Aruze has been accused by the Japanese government of concealing taxable income. This could cause licensing difficulties for Aruze in Nevada because a key function of state casino licensing authorities is ensuring gambling taxes are paid.

Wynn told Reuters news service the Aruze issue in Japan is a civil matter and should not be a major factor when Aruze applies for a casino license as would be required because of its agreement to invest $260 million in Wynn's project.

"(Aruze President Kazuo) Okada has been a (gaming) licensee for over 10 years in Nevada, and is a businessman in good standing in Japan," Wynn told Reuters. "He has a large, complicated and vast company in Japan."

"(The investigation involves) civil arguments and should have no bearing whatsoever on the suitability of doing business in Nevada any more than any other civil argument," Wynn told Reuters.

"We have no intention of replacing Mr. Okada (as a partner)," Wynn told Reuters, responding to a Reuters report on Friday that quoted unnamed sources as saying Wynn is looking for new partners.

Wynn also said his plans for the DI will be announced this fall. The largest and first part of the mega-resort will be a 2,500-room hotel, Wynn said. A smaller 300-room hotel and a condominium tower, funded by an outside institutional investor, will also be built on the property, Wynn told Reuters.

A third hotel could also eventually be developed on the site, Reuters said.

archive