An article on reviewjournal.com featured the high stakes fiasco that went down at the Wynn Macau, with about $258 M in funds that were reportedly stolen from a known Chinese junket operator. Even though Wynn Resorts Ltd. stocks have experienced a stock price struggle as high as 65% recently, they still have maintained close relations with the Dore Group and stated the latter as an licensed, registered, and independent gaming promoter.
Wynn Resorts said of their partnership with the Dore Group, "Any matters related to Dore's failure to honor withdrawal of funds requests are related to Dore's direct financial relationships with the parties requesting such withdrawals and accounts maintained directly between Dore and such parties...Dore owes no money to the company and continues to operate at Wynn Macau."
The Dore Group acts as the middleman between those gambling big-spenders, bringing them to the popular casinos in Macau, according to the same article.
In another article on finance.yahoo.com, investment bank Daiwa Capital Markets of Hong Kong said of the reported heist "Wynn may still face some form of bad debt in the event that the junket's remaining capital base is unable to absorb the loss..Continued junket closures are a real possibility, and as previously highlighted, we have already witnessed an acceleration of junket closures in the past 2 months. There are at least 11 VIP rooms slated for closure in Aug/Sep 15 alone, based on our count."
"As a whole, the junket segment never recovered from this liquidity squeeze since," it wrote in its note reporting the heist. "We are already seeing signs of this today, with individuals purportedly rushing to the junket (Dore) in an attempt to withdraw funds," according to the same statement.
President Xi Jinping of China has also strengthen his anti-corruption drive, leading high rollers to be more cautious with their gambling activities, as mentioned in the same article.
