Harald Neumann resigns as Ainsworth CEO following Nevada licence setback

• Harald Neumann has resigned as CEO of Ainsworth Game Technology with immediate effect after Nevada Gaming Control Board recommended he withdraw his licence application
• COO Ryan Comstock takes over as acting CEO whilst the company conducts comprehensive search for permanent replacement
• The departure follows Austrian corruption investigations related to Neumann’s previous role at Novomatic that were disclosed earlier this year

Harald Neumann has resigned from his position as Chief Executive Officer of Ainsworth Game Technology with immediate effect, just days after the Nevada Gaming Control Board recommended he withdraw his application to renew his gaming licence.

The Australian slot machine manufacturer announced the departure in a statement to the Australian Securities Exchange, acknowledging Neumann’s contribution during his tenure as CEO since October 2021.

Nevada regulator triggers review

The resignation follows a tumultuous period for Neumann, whose licence renewal application was referred back to Nevada Gaming Control Board staff with a recommendation for withdrawal during a meeting on 9 October.

Nevada gaming licences typically require renewal every five years, allowing authorities to monitor the ongoing suitability of individuals working in the gambling sector. The Nevada Gaming Control Board, regarded as one of the world’s most influential gaming regulators, deemed Neumann unsuitable to hold a licence in the jurisdiction.

During the licence hearing, board members described Neumann as “arrogant,” “evasive,” and lacking in “emotional intelligence”. Board member George Assad, a retired judge, told Neumann directly that his entire demeanour is unacceptable.

Chandeni Sendall, board member, told Mr Neumann:

“You have to be a person of good character, honesty and integrity, and what I’ve seen here on the record for the past hour does not support such a finding.”

Harald Neumann (centre) during a nightmare meeting with Nevada regulators. (Supplied – ABC News)

Austrian corruption probe adds pressure

The licence setback came months after revelations that Neumann had been under investigation by Austrian authorities for alleged corruption charges relating to his previous role as CEO of Novomatic.

The investigation examined Neumann’s alleged involvement in arrangements with Austrian politicians, including attempts to influence appointments to the board of state-controlled regulator Casinos Austria.

Austrian media disclosed text messages between Neumann and former finance minister Gernot Blümel, in which the Novomatic executive allegedly sought meetings with then-chancellor Sebastian Kurz to discuss donations and legal issues.​

Comstock steps into interim role

Chief Operating Officer Ryan Comstock will take over as acting CEO immediately whilst Ainsworth conducts a comprehensive search for a permanent replacement, considering both external and internal candidates.

Comstock joined Ainsworth in 2012 and was promoted to Chief Operating Officer in 2018. Before joining the company, he spent nearly a decade at Deloitte’s audit and assurance practice serving gaming, manufacturing and technology companies.​

He holds degrees in Accounting and Computer Information Systems from the University of Nevada, Reno, and serves as chair of the Association of Gaming Equipment Manufacturers. Comstock is based in Las Vegas and his remuneration will remain unchanged during the interim period.​

Ainsworth shares closed 1.40 per cent lower at A$1.06 in Sydney trading following the announcement.