Vince McMahon to Pay $400,000 Fine to Settle SEC Charges Over Hush-Money Payments He Made as WWE CEO

variety.com:

Todd Spangler NY Digital Editor The SEC announced Friday that it settled charges against Vince McMahon, former CEO of WWE, that he made personal payments that “circumvented WWE’s system of internal accounting controls” and caused “material misstatements” in the company’s 2018 and 2021 financial statements.

McMahon consented to the entry of the SEC’s order finding that he violated the Securities Exchange Act by “knowingly circumventing WWE’s internal accounting controls and that he directly or indirectly made or caused to be made false or misleading statements to WWE’s auditor,” the agency said. “Without admitting or denying the SEC’s findings,” McMahon agreed to cease-and-desist from violating those provisions, pay a $400,000 civil penalty and reimburse WWE $1.33 million pursuant to Section 304(a) of the Sarbanes-Oxley Act.

According to the SEC’s order, McMahon entered into one settlement agreement that obligated him to pay a former WWE employee $3 million in exchange for the ex-employee’s agreement to not disclose her relationship with McMahon and her release of potential claims against WWE and McMahon.

A second agreement obligated McMahon to pay a former WWE independent contractor $7.5 million in exchange for the independent contractor’s agreement to not disclose her allegations against McMahon and her release of potential claims against WWE and McMahon.