Last year, Vince McMahon was accused of paying multi-million dollars to several women over the past 16 years. At the time, the WWE board investigated the hush money payments. The special committee that investigated the scandal was disbanded last November.
In March of this year, McMahon reimbursed $17.4 million and agreed to pay further costs in relation to the investigation.
However, in an SEC filing, WWE announced that the government investigation of Vince McMahon’s misconduct allegations remains ongoing. Last July, a search warrant was executed on McMahon.
LA Times recently talked to Jacob Frenkel who was a former senior counsel in the SEC Division of Enforcement regarding McMahon’s allegations. Frenkel stated that McMahon would have to step down as Executive Chairman of TKO if the government found McMahon guilty of any wrongdoing.
“Depending on the potential findings, McMahon could face criminal and/or civil liabilities that could prevent him from serving as an officer or director of a public company, as well as a clawback of any “ill-gotten gains,” Frenkel said.”
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