Vince McMahon reaches settlement with SEC for over $1.7 million regarding hush money agreements

The Securities and Exchange Commission announced that Vince McMahon, co-founder of World Wrestling Entertainment, will pay over $1.7 million to settle charges related to failing to disclose payment agreements connected to sexual assault allegations. McMahon allegedly circumvented WWE’s internal accounting controls, leading to inaccuracies in the company’s financial statements. He agreed to the settlement without admitting or denying the findings, agreeing to pay a $400,000 civil penalty and reimburse WWE around $1.3 million. The SEC stated that company executives should not withhold material information from control functions and auditors. McMahon allegedly failed to disclose payments of $3 million to a former employee and $7.5 million to a female independent contractor to prevent them from filing claims against him, resulting in overstated net income for WWE. Reports suggest McMahon paid a total of $12 million over 16 years to suppress allegations of sexual misconduct. In January, McMahon faced accusations of sex trafficking and abuse, prompting him to step down as executive chairman of TKO, WWE’s parent company, and relinquish all roles with WWE.

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