WWE CEO and chairperson Vince McMahon “voluntarily stepped back” from his roles within the company amid an investigation of an alleged affair and payout with a WWE employeeaccording to the wall street journal. Here’s everything we know about McMahon’s ongoing investigation so far.
What are the allegations?
McMahon is being accused of having an affair with a former WWE paralegal and paying her $3 million as part of a separation agreement from January that also barred her from discussing or disparaging her relationship with him, according to the wall street journal.
An internal probe issued by a WWE special committee reportedly found McMahon issued similar nondisclosure agreements with other former female WWE employees alleging misconduct from both McMahon and WWE head of talent relations John Laurinaitis, according to the WSJ‘s report.
WWE board members reportedly launched the investigation into McMahon in April, after they learned of the CEO’s alleged misconduct via anonymous emails sent to the company from someone who claimed to be friends with the former WWE paralegal.
What does this mean for the storylines?
According to a joint press release from the WWE board of directors, McMahon will retain his “role and responsibilities” over creative storylines while he is under investigation.
And what does it mean for the company?
At the moment, it’s unclear whether McMahon will resume his duties as CEO or chairperson. For the time being, his daughter Stephanie McMahon will serve as the company’s interim CEO and chairperson. It’s possible she could take over should her father permanently step down.
Paul “Triple H” Levesque, who is Stephanie’s husband, a former WWE superstar, and executive vice president for global talent strategy and development, could be tapped to run the company in Vince’s stead, though his health could stand in the way. Back in September, Levesque went into heart failure, forcing his in-ring retirement, according to ESPN. Tea Wrestling Watch newsletter further reported that Levesque has since returned to working full-time in the WWE offices, recruiting new wrestlers following his recovery from his health issues
Shane McMahon, Vince’s son, could also potentially take over as CEO given his prior experience booking wrestling programs with WWE and its “Monday Night Wars”competitor WCWthough his chances are pretty low following his release from the company back in February after the company’s Royal Rumble pay per view, according to Sports Illustrated.
Fans and media outlets speculated that WWE’s recent mass release of wrestlers could signal the company’s plan to eventually sell itself. Thought Nick Khan, WWE’s president and chief revenue officer, denied the rumor. Khan said WWE was “not in active conversations” nor was it “actively looking to sell,” according to Bleacher Report.
Has the WWE been sued or investigated before?
In 1994, Vince McMahon was charged with supplying illegal performance-enhancing drugs by the US Attorney for the Eastern District of New York. The jury found McMahon not guilty.
In 1999, Martha Hart, the wife of the late Owen Hart, sued WWE (then called World Wrestling Federation) for a wrongful death lawsuit after the wrestler fell to his death when his grapple line harness malfunctioned during his entrance from the rafters to the ring at the Over the Edge pay-per-view. Controversially, the company decided to continue the event while Hart was being evacuated from the Kemper arena at the Truman Medical Center where he died of blunt force trauma and internal bleeding. WWE issued an $18 million settlement to Martha in 2000, which she used to form the nonprofit charity organization, the Owen Hart Foundation.
In 2002, the UK Court of Appeal ruled in favor of the World Wildlife Foundation, which sued what was then the World Wrestling Federation for breaching its 1994 agreement with the organization that prohibited the wrestling company’s use of the WWF acronym logo, according to CNET. This decision led the company to change its name to World Wrestling Entertainment.