May 31, 2016 - 8:58 pm
The Las Vegas Sands Corp. Tuesday settled a six-year-long lawsuit filed by a former top executive of its Macau operations.
A confidential settlement was reached between Sands and Steven Jacobs, who headed the company’s China operations until being ousted in 2010.
The company’s China operation disclosed the settlement in a filing with the Stock Exchange of Hong Kong.
“On or about May 31, 2016, the parties to the proceedings reached a comprehensive and confidential settlement through which Mr. Jacobs dismissed all claims in the Nevada state and federal cases against our controlling shareholder, Las Vegas Sands Corp., the company, our subsidiary Venetian Macau Ltd., and Mr. Sheldon G. Adelson and released all claims as of that date,” the statement said.
Jacobs’ Las Vegas attorney Todd Bice confirmed that the settlement had been reached, but said because the terms of the agreement are confidential, he could not add further details. A Sands spokesman also confirmed the settlement, but had no further comment.
A trial had been scheduled for later this month in Clark County District Court before Judge Elizabeth Gonzalez. A Sands petition to have Gonzalez removed from the case was rejected May 11 by the Nevada Supreme Court, and the case had been rescheduled for trial Sept. 6.
Jacobs sued Sands for wrongful termination in 2010, claiming he was fired “for blowing the whistle on improprieties and placing the interests of shareholders above those of Adelson.”
Adelson countersued and has repeatedly denied Jacobs’ allegations, saying he was acting on his own.
The lawsuit led to Justice Department and SEC investigations into whether Sands officials violated the United States Foreign Corrupt Practices Act against bribing foreign officials.
In April, Sands agreed to pay a $9 million fine to settle SEC claims that the company didn’t properly document payments to a consultant working for the company beginning in 2006. Sands didn’t admit wrongdoing as part of that settlement and said the investigation showed that Jacobs had nothing to do with the SEC probe.
The Review-Journal is owned by a limited liability corporation owned by the family of Sands chairman and CEO Sheldon Adelson.
Contact Richard N. Velotta at email@example.com or 702-477-3893. Find @RickVelotta on Twitter.