TKO Executive Chairman of the Board Vince McMahon is seen throughout a ceremony saying Dwayne “The Rock” Johnson has joined the Board of Directors for TKO at New York Stock Exchange on January 23, 2024 in New York City.
Michelle Farsi | UFC | Getty Images
The Securities and Exchange Commission charged former WWE boss Vince McMahon with failing to tell his professional wrestling firm’s board of settlement agreements totaling $10.5 million with two girls on behalf of himself and the WWE, the SEC stated Friday.
McMahon has agreed to settle the executive expenses and agreed to pay a $400,000 civil penalty and reimburse the WWE $1.33 million after consenting to an order discovering that he violated the Securities Exchange Act, the SEC stated.
The SEC stated that McMahon’s failure to tell the WWE’s board, authorized division, accountants or auditor of the settlements “circumvented WWE’s system of inner accounting controls and brought on materials misstatements in WWE’s 2018 and 2021 monetary statements.”
One of the settlement agreements obligated McMahon to pay $3 million to a former WWE worker in trade for her silence a few relationship with him and her releasing potential authorized claims in opposition to McMahon and the corporate.
That lady was not named. But former WWE worker Janel Grant final yr filed a federal lawsuit in opposition to McMahon, accusing him of sexual assault and trafficking, and alleging that he had agreed to pay her $3 million as a part of a nondisclosure settlement. Grant says McMahon solely ended up paying her $1 million.
The different deal required McMahon to pay a former impartial contractor for WWE who alleged that “McMahon assaulted her and derailed her profession after she refused to have interaction in a sexual relationship with him,” in response to the SEC order.
The SEC stated that as a result of the agreements with the ladies weren’t recorded, WWE overstated its web earnings for 2018 by about 8% and its 2021 web earnings by about 1.7%.
This is breaking information. Please refresh for updates.
