Kazuo Okada out on bail for alleged graft

Kazuo Okada has been arrested in Hong Kong over unspecified “corruption-related” offenses, it has been reported.

Universal Entertainment Corporation said yesterday that the Independent Commission Against Corruption (ICAC) had arrested Okada and released him on bail. According to Forbes, Okada is the 16th richest person in Japan.

The ICAC did not confirm this, saying that it does not comment on specific cases.   “Upon receipt of a corruption complaint and should there be sufficient information to pursue, the ICAC will follow up on it in accordance with the law and established procedures,” the organization stated. Universal Entertainment said it would assist ICAC with the probe.

Okada was sacked from his board position at Universal Entertainment in 2017, when he was accused of misappropriating USD20 million, a charge which Okada denies. He was also ousted as a director of Hong Kong investment company Okada Holdings, which controls Universal.

In Macau, Okada’s company is involved in a long-time feud with Wynn Resorts.

The company filed a suit in 2012 against Okada, claiming he had put Wynn’s gaming licenses at risk by making illicit payments to Philippine regulators. Okada countered that he was forced out of the company because Steve Wynn perceived him as a threat to his control.

In March, Wynn Resorts Ltd. agreed to pay a total of USD2.4 billion to settle a lawsuit with Universal Entertainment Corp. over the forced redemption of the Japanese pachinko-
machine maker’s 20 percent stake in the casino operator six years ago. However, since Okada had been ousted from his Tokyo-based company, he wasn’t a party to the settlement.

Under the new leadership of Matt Maddox, Wynn Resorts dropped all other claims against Okada, the Las Vegas Review Journal reported.

Universal shares closed 5.6 percent lower after the news, which broke only minutes before the market closed.