Caesars Entertainment Corp. (CZR) fined $225,000

Mar 18, 2013 7:48 PM

Inappropriate business behavior and lack of sound judgment by officials of Caesars Entertainment Corp. (CZR), even though the activities took place in Las Vegas and not New Jersey, resulted in the company agreeing to pay a fine of $225,000 to settle the New Jersey case.

Caesars, operator of four casinos in Atlantic City, was involved in “inappropriate behavior and arguably illegal activities” when dealing with the Nebraska high-roller Terrance Watanabe, claimed New Jersey regulators.

Watanabe reportedly lost $200 million at Caesars Palace and the Rio Hotel/Casino in Las Vegas during 2007. He alleged that Caesars gave him alcohol and pain killers without a doctor’s prescription, rendering him incapable of gambling responsibly.

“Senior management did not respond appropriately to allegations that the p layer possessed and used illegal drugs on (Caesars) property, (and) engaged in inappropriate sexual conduct in the presence of (Caesars) employees and made inappropriate sexual advances toward (Caesars) employees,” regulators stated in an investigative report.

They concluded that Caesars violated its own policies against sexual harassment by not protecting its employees from inappropriate advances from the player.

The settlement was reached March 7 and was made public on Monday.

Ray Poirier is the longtime executive editor at GamingToday.

Contact Ray at [email protected].

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