Corporate Conflicts . com
Insight & Commentary
Corporate Conflicts
>
>
>
>
>
>
>
>
>
Resources
  Commentary



Sunflowers by Vincent Van Gogh currently on exhibit at the Bellagio Casino in Las Vegas, Nevada.

Heist at the Bellagio or plot twist for new Ocean's Eleven sequel ?


Corporate Conflicts of Interest at MGM Mirage (MGG):
The Bellagio casino is part of the publicly traded MGM Mirage Group. The Bellagio has a museum featuring original paintings from masters such as Van Gogh, Renoir, Monet, and Rembrandt with a total market value approaching $1 billion. It may come as a surprise to some to learn that Steve Wynn, the chairman and chief executive of the MGM Mirage is the actual owner of the majority of the collection.

It is reported that the Bellagio rents the art from Mr. Wynn. Some of the paintings are rented at rates as high as $160,000 per month. Mr. Wynn receives approximately $4 million in rental fees from the Bellagio.

To avoid any appearance of impropriety, only "arms length transactions" should be made. Given that Mr. Wynn is a senior executive with a controlling interest in the MGM Mirage, the rental fees may be construed by some as using company assets to finance the purchase of personal property for Mr. Wynn.

Since the casino actually charges visitors $20 admission to the museum, it would be of interest to see if the attraction is profitable or simply a method to get potential gamblers onto the premises.

 
2004 Nelson Chin.
To inquire about consulting or speaking engagements, e-mail: Nelson Chin
Other Commentaries:

Former Computer Associates CEO faces new indictment. Could auditors have detected the fraud ?

Adelphia and ex-CEO Rigas to settle fraud case.

Arthur Andersen Conviction Overturned: Too Little Too Late.


Worldcom's Ebbers faces $30 Million Fine and life in prison.


Russian Oil Tycoon Mikhail Khodorovsky: Guilty of Fraud and Victim of Politics?

Accounting Giant KPMG Probed for Unlawful Conduct.

Former CEO of HealthSouth Scrushy acquitted.


Former Tyco CEO Kozlowski convicted, faces 30 years.

Outgoing TOYS R US CEO's Favorite Toy? The Golden Parachute.

Sayanora Citigroup. Japan shuts down Private Banking Unit.

Heist at the Bellagio or plot twist for the New Ocean's Eleven sequel?

Eisner versus Ovitz. The Showdown in Tinseltown.


Marsh sinks deeper in insurance scandal.

Managers disconnected at Verizon.

What is Martha stuffing in her stocking this holiday season?

Is Apprentice Street Smart Candidate a College Graduate?


Outsourcing Employees - coming soon.

Samples of Written Policies:

Conflicts of Interest v1
Conflicts of Interest v2
Conflicts of Interest v3

Audit Committee v1

Regulatory:

Sarbanes-Oxley Act of 2002

Final Arthur Andersen Alumni Letter

>
Corporate Conflicts Website 2004 - 2005 Nelson Chin. All rights reserved.
All logos are trademarks of their respective owners.