Former WWE executive Vince McMahon settled with theSEC on Friday over millions paid in hush-money agreements.According to NBC News,McMahon will pay more than $1.7 million in regards to charges over his failure to disclose payment agreements, related to sexual assault allegations.The outlet reported he will pay a $400,000 civil penalty, and must reimburse WWE around $1.3 million. The settlement is unrelated to the ongoing sex trafficking lawsuit filed by former employee Janel Grant last year.
According to the SEC, McMahon went around internal account controls within the WWE, causing mistakes in WWE's 2018 and 2021 financial statements. McMahon also reportedly agreed to the settlement, without admitting or denying its findings, according to NBC. The agency alleges McMahon failed to disclose hush-money payments to the tune of $3 million to a former employee, and another $7.5 to a female independent contractor. Due to McMahon failing to disclose the hush-money payments, WWE overstated its net income in both 2018 and 2021, by approximately 8% and 1.7%, respectively.
McMahon previously paid WWE $17.4 million for costs related to the sexual misconduct allegations, according to an SEC filing in March 2023. That reimbursement was for the cost of the investigation into McMahon by a special committee of the WWE's board of directors.
