An employe of Golden Nugget Inc.'s Atlantic City casino-hotel is the target of a federal grand jury investigation concerning a possible $800,000 money-laundering scheme involving persons convicted of drug trafficking and money laundering last month, according to documents the company filed with the Securities and Exchange Commission.
Golden Nugget Inc. said in the SEC filing that two of its top executives and an "important marketing employe" of the firm's Atlantic City operations have received subpoenas to appear before a grand jury investigating the matter.
Officials of Golden Nugget, which is based in Las Vegas, could not be reached for comment, but told the SEC that the casino and hotel operating firm "intends to fully cooperate with the grand jury."
Golden Nugget said in the filing that the grand jury investigation "apparently stems" from a customer who deposited $1.1 million in small bills at the firm's Atlantic City casino one night in November 1982. After losing about $300,000, the unidentified customer was given the approximately $800,000 balance of his account in larger bills.
The unidentified customer and nine others later were indicted by a federal grand jury in New York on charges of drug trafficking and money laundering. Most of those indicted were convicted, Golden Nugget said, but the unidentified customer was separated from the rest of those charged and has not yet gone to trial.
Scheduled to testify before a federal grand jury in Newark this month are the "important marketing employe" of Golden Nugget's Atlantic City casino; the casino's president, D. Boone Wayson; and Golden Nugget Chairman and President Stephen A. Wynn.
According to Golden Nugget, its "personnel properly evaluated and authorized the customer's currency transactions" when the customer deposited $1.1 million and that same night took out about $800,000 in different bills.
Golden Nugget said its Atlantic City casino supplied investigators with documents "presumably relating" to the alleged money-laundering scheme. Golden Nugget, however, has been involved in Justice Department investigations since March. The firm's Las Vegas casino also gave records to Justice's Las Vegas Strike Force in connection with check cashing and deposits made by an unnamed Las Vegas resident at Golden Nugget's Las Vegas casino. Wynn and Robert H. Baldwin, president of Golden Nugget-Las Vegas, are to be interviewed in that investigation on May 22.
In both investigations, Golden Nugget said it was unaware of any facts that would point to improper actions by its employes.