Vince McMahon attends a press convention at MetLife Stadium on February 16, 2012 in East Rutherford, New Jersey.
Michael N. Todaro | Getty Photographs
World Wrestling Leisure’s board is investigating a $3 million hush-money settlement that CEO Vince McMahon paid a girl over an alleged affair, The Wall Street Journal reported Wednesday, citing paperwork and other people accustomed to the matter.
The settlement, which was struck in January, is meant to forestall the lady, who had labored as a paralegal for the corporate, from discussing her relationship with McMahon or making important statements in regards to the chief government, the Journal added.
A WWE spokesman informed the newspaper that the corporate is cooperating with the board’s investigation and that the connection between McMahon and the lady was consensual.
McMahon, 76, is married to Linda McMahon, who served as CEO of WWE and as Small Enterprise Administration chief within the administration of former President Donald Trump, who’s a WWE Corridor of Famer.
The report stated the board’s investigation, which began in April, additionally revealed nondisclosure pacts associated to misconduct claims from different girls who had labored at WWE. These agreements concerned McMahon and WWE expertise government John Laurinaitis, who wrestled underneath the title Johnny Ace, the Journal added.
WWE did not instantly reply to a request for remark from CNBC.
The board retained Simpson Thacher & Bartlett LLP, a New York-based legislation agency, to conduct the investigation, a supply informed the Journal. The agency did not instantly reply to a request for remark from CNBC.
McMahon’s lawyer, Jerry McDevitt, was not instantly out there for remark. McDevitt informed the Journal that the previous worker did not make any harassment claims towards McMahon. He additionally stated that WWE did not pay her any cash, the paper stated.
The information comes at a pivotal time for the wrestling-entertainment firm. In Might, government Stephanie McMahon, the daughter of Vince and Linda McMahon, took a depart of absence from most of her obligations on the firm. “WWE is a lifelong legacy for me and I look ahead to returning to the corporate that I like after taking this time to concentrate on my household,” she tweeted at the time.
WWE has additionally been the topic of hypothesis over a possible sale and its media rights. It has offers with Fox, USA Community, Hulu and NBCUniversal’s Peacock streaming service. The Hulu deal expires this 12 months.
The corporate is publicly traded, however McMahon owns the vast majority of WWE’s voting shares. He took over the corporate from his father, additionally named Vince McMahon, in 1982. Underneath the youthful McMahon’s oversight, the WWE, then often known as the World Wrestling Federation, turned a world juggernaut. Within the a long time since, the corporate has spawned superstars comparable to Hulk Hogan, Bret “The Hitman” Hart, Dwayne “The Rock” Johnson and Dave Bautista.
That is removed from McMahon’s first brush with controversy. In 1993, he was indicted on federal costs associated to anabolic steroids, which he and several other skilled wrestlers within the WWF secure used. He was acquitted of the charges in 1994. McMahon and the corporate additionally got here underneath hearth in 1999 for persevering with a present after celebrity Owen Hart, a brother of Bret’s, fell to his demise from an area’s rafters whereas staging a stunt. The corporate finally agreed to pay the Hart family $18 million over the wrestler’s demise.
Learn the total Wall Road Journal report here.
Disclosure: NBCUniversal is the father or mother firm of CNBC.
– CNBC’s Candice Choi contributed to this report.