Vince McMahon, the former WWE CEO, is facing a $400,000 civil penalty related to hush money payments that have sparked controversy. Allegations surfaced that McMahon circumvented WWE’s internal accounting controls and made significant misstatements in financial reports from 2018 and 2021. In addition to the fine, McMahon is required to reimburse WWE $1.33 million under the Sarbanes-Oxley Act.
As part of two separate settlements, McMahon has paid substantial sums to former employees to secure confidentiality regarding their relationships with him. One former WWE employee received $3 million, while another independent contractor was paid $7.5 million to remain silent about their allegations.
Mr. McMahon does not control TKO nor does he oversee the day-to-day operations of WWE. While this matter predates our TKO executive team’s tenure at the company, we take Ms. Grant’s horrific allegations very seriously and are addressing this matter internally.”
Despite the legal challenges, McMahon remains active in the wrestling industry. He recently sold nearly $412 million worth of stock in TKO Group, the parent company of WWE and UFC. However, his troubles are far from over; former employee Janel Grant has filed a lawsuit accusing McMahon of sex trafficking and assault, alleging that he coerced her into sexual acts and used her nude images inappropriately.
This lawsuit is replete with lies, obscene made-up instances that never occurred, and a vindictive distortion of the truth. He will vigorously defend himself.”
In response to the allegations, McMahon has taken to social media, denying the claims and labeling the lawsuit as a “vindictive distortion of the truth.” Grant’s lawyer stated that the lawsuit aims to hold accountable those who enabled the alleged misconduct, emphasizing the need for accountability within WWE.
As McMahon continues to navigate this tumultuous legal landscape, the wrestling community watches closely, awaiting further developments in this high-profile case.
