Former WWE CEO Vince McMahon has reached a settlement with the Securities and Exchange Commission (SEC) regarding undisclosed payments made to two women with whom he allegedly had relationships.
Here’s everything you need to know about Vince McMahon’s Securities and Exchange Commission settlements.
Is WWE Getting Paid Finally?: Vince McMahon Settles SEC Charges With $1.3 Million Payment
In a statement, McMahon described the charges as “minor accounting errors” and expressed his satisfaction with the resolution of the matter.
He wrote, “The case is closed. Today ends nearly three years of investigation by different governmental agencies. There has been a great deal of speculation about what exactly the government was investigating and what the outcome would be. As today’s resolution shows, much of that speculation was misguided and misleading.”
McMahon further stated, “In the end, there was never anything more to this than minor accounting errors with regard to some personal payments that I made several years ago while I was CEO of WWE. I’m thrilled that I can now put all this behind me.”
According to the SEC, McMahon signed two settlement deals without telling the WWE board about them, one in 2019 and the other in 2022. Under these agreements, a former employee and an independent contractor received $3 million and $7.5 million, respectively, in exchange for keeping quiet about their interactions with McMahon and releasing any potential lawsuits against him and the business.
As a result of these undisclosed agreements, WWE filed inaccurate financial disclosures. Under the terms of the settlement, McMahon will pay a $400,000 civil penalty and reimburse WWE more than $1.3 million. Following the completion of the deal, McMahon was sued by a former employee on charges of battery and sex trafficking. He resigned the following day, stating that he vehemently denied the accusations.
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McMahon, who retired as CEO in 2022 following an internal investigation into misconduct allegations, later regained control of the company’s board and orchestrated its sale to Endeavor. This settlement brings an end to a lengthy investigation into McMahon’s conduct and its impact on WWE’s financial reporting.
