Vince McMahon settles SEC WWE hush-money charges, $400K penalty
He neither admitted nor denied the SEC findings and calls them minor accounting errors. Janel Grant's suit was set for private arbitration in July.
By MissFortune, money desk · Desk editor Laima Ērkšķe-Kreicberga · · 6 min read
SETTLEDPhoto: Airman 1st Class Nicholas Pilch · Public domainWhat we know
- The SEC said on Jan. 10, 2025 that it settled charges against Vince McMahon over two undisclosed settlement agreements worth $10.5M, per the Associated Press.
- Without admitting or denying the findings, McMahon agreed to a $400,000 civil penalty and to reimburse WWE about $1.3M, the SEC said.
- The SEC order found the unrecorded payments overstated WWE's 2018 net income by about 8% and its 2021 net income by about 1.7%.
- Janel Grant sued McMahon, WWE and a former executive in January 2024 alleging sex trafficking and abuse; McMahon denies it and resigned from TKO a day later.
- On July 24, 2026 Grant, McMahon and WWE jointly moved to dismiss the case with prejudice and pursue their claims in confidential arbitration, USA Today reported.
Crown Jewel (2026) is trending today, so here is the paperwork on the executive whose name is still attached to WWE's ledger. In January 2025 Vince McMahon settled SEC charges over two hush-money agreements worth $10.5M that he did not disclose to WWE's board, lawyers, accountants or auditor. He paid a $400,000 civil penalty and agreed to reimburse the company about $1.3M, without admitting or denying the findings, the SEC said, per the Associated Press.
McMahon called it "minor accounting errors" in a prepared statement. The SEC's order, as the AP reports it, found the unrecorded payments overstated WWE's 2018 net income by about 8% and its 2021 net income by about 1.7%. Minor accounting errors, in the statement's phrase; the SEC put the 2018 overstatement at about 8%. MissFortune has laid out the sequence below, from the first report to the latest filing.
"In the end, there was never anything more to this than minor accounting errors with regard to some personal payments that I made several years ago while I was CEO of WWE."
Vince McMahon, prepared statement on the SEC settlement, via the Associated Press, Jan. 10, 2025
The timeline
June 15, 2022: the $3M settlement surfaces
The Wall Street Journal reported, citing documents and people familiar with the inquiry, that WWE's board was investigating a secret $3 million settlement McMahon agreed to pay a departing employee with whom he was said to have had an affair. McMahon's lawyer Jerry McDevitt told the Journal the former employee made no harassment claims against him, and a WWE spokesman said the relationship was consensual, CNBC reported. The board's investigation began in April.
See the receipt (opens in a new tab)June 17, 2022: McMahon steps back
WWE said McMahon stepped down as chairman and chief executive while the board investigated, with his daughter Stephanie McMahon taking over as interim chief executive and chairwoman, The New York Times reported. In a statement he said he had pledged complete cooperation and would accept the findings of the investigation, whatever they are.
See the receipt (opens in a new tab)July 8, 2022: the figure grows to more than $12M
The Wall Street Journal reported, citing people familiar with the deals and documents it reviewed, that McMahon agreed to pay more than $12 million over 16 years to four women formerly affiliated with WWE. The reported deals include a $7.5 million pact with a former wrestler and a roughly $1 million agreement with a contractor. No response from McMahon to that report appears in the documents read for this piece.
See the receipt (opens in a new tab)July 22, 2022: retirement
McMahon announced he had retired as WWE chairman and chief executive, posting on Twitter, "At 77, time for me to retire." Asked why, a WWE representative pointed The New York Times to his statement, which mentioned his age. He said he would remain the majority shareholder.
See the receipt (opens in a new tab)Aug. 10, 2022: WWE discloses $5M more
In an SEC filing, WWE disclosed another $5 million in payments made by McMahon in 2007 and 2009, which the company said were unrelated to the misconduct allegations, CNBC reported. That followed a disclosure of $14.6 million in previously unrecorded expenses. WWE delayed its earnings report as a result.
See the receipt (opens in a new tab)January 2023: the return
ESPN reported that McMahon, 77, announced a return to WWE ahead of media rights negotiations, noting that he used personal funds for the payments but failed to record expenses that totaled $19.6 million. An SEC filing showed him back on the board.
See the receipt (opens in a new tab)Jan. 25, 2024: Janel Grant sues
The Wall Street Journal reported that Janel Grant, a former WWE employee, sued McMahon, WWE and a former executive, alleging abuse, sexual exploitation and sex trafficking. She said she signed a 2022 nondisclosure agreement under which McMahon agreed to pay $3 million, and that payments stopped after the first $1 million. McMahon's spokesman called the suit "replete with lies, obscene made-up instances that never occurred, and a vindictive distortion of the truth."
See the receipt (opens in a new tab)Jan. 26, 2024: resignation from TKO
McMahon resigned as TKO executive chairman and from its board, NBC News reported, saying he stood by his denial and looked forward to clearing his name. TKO said it takes Grant's allegations very seriously. NBC News noted he has not been criminally charged in connection with the allegations in the lawsuit.
See the receipt (opens in a new tab)May 30, 2024: Grant's case is paused
Grant's lawyer Ann Callis said Grant agreed to stay her case at the request of the U.S. attorney for the Southern District of New York, pending a non-public investigation, NBC News reported. McMahon's lawyer Jessica Rosenberg said the evidence will prove the allegations false. The Southern District of New York declined to comment.
See the receipt (opens in a new tab)Jan. 10, 2025: the SEC settlement
The SEC said it settled charges over McMahon's failure to disclose two agreements: $3 million to a former employee and $7.5 million to a former independent contractor, together $10.5 million. McMahon agreed, without admitting or denying the findings, to cease and desist, pay a $400,000 civil penalty and reimburse WWE about $1.3 million. Grant's lawyer said the charges prove the NDA violates the law; McMahon said the matter was never more than minor accounting errors.
See the receipt (opens in a new tab)July 24, 2026: toward private arbitration
USA Today reported that Grant, McMahon and WWE filed a joint motion in federal court in Connecticut to dismiss the lawsuit with prejudice, with any further proceedings to take place in confidential arbitration. A judge still needed to approve it at the time of the report. Representatives for McMahon declined to comment, and USA Today said McMahon has denied the allegations since the suit was filed.
See the receipt (opens in a new tab)The money, itemized
| Figure | What it was | Who says |
|---|---|---|
| $3M | Agreement with a former employee; Grant's suit says $1M was paid | SEC, via AP; Grant's complaint, via WSJ |
| $7.5M | Agreement with a former independent contractor | SEC, via AP |
| $10.5M | The two agreements the SEC said were not disclosed | SEC, via AP |
| $400,000 | Civil penalty, no admission or denial | SEC, via AP |
| $1.3M | Approximate reimbursement to WWE | SEC, via AP |
| $14.6M | Previously unrecorded expenses WWE disclosed in 2022 | CNBC |
| $5M | Further payments from 2007 and 2009; WWE said unrelated to the misconduct allegations | WWE SEC filing, via CNBC |
| $12M+ | Payments to four women over 16 years | WSJ, citing people familiar and documents |
The ledger reads as follows: the regulator's settlement is on record, with a penalty of $400,000 against $10.5M of agreements the board did not see. Grant's allegations were never tried in public. If the arbitration filing was approved, as the parties asked, what happens next stays confidential.
Quick quiz · 3 questions
By the numbers
- 18 mofrom first to latest entry on record
- 11receipts behind this story
The Vince McMahon file
- Admitted
McMahon resigned as TKO executive chairman and from its board, saying he denies the lawsuit's claims. This story
- Admitted
McMahon announced in a statement and a Twitter post that he was retiring as WWE chairman and CEO. This story
On file: The Vince McMahon file · The Janel Grant file · The U.S. Securities and Exchange Commission file · The WWE file
The Ledger
On the record
- The SEC said on Jan. 10, 2025 that McMahon settled charges over two undisclosed agreements worth $10.5M, agreeing to a $400,000 penalty and about $1.3M in reimbursement without admitting or denying the findings.
- Grant, McMahon and WWE jointly moved on July 24, 2026 to dismiss her suit with prejudice and pursue claims in confidential arbitration; McMahon has denied her allegations.
Still rumour
- Whether the judge approved the dismissal is not confirmed in the documents read, and what happens in arbitration is confidential.
- The $12M-plus total across four women comes from the Wall Street Journal's sources and documents; it was not adjudicated.
That's the record. The rest is rumour. - MissFortune
Next on the docket
More Settlements
Settlements · ⚖️ Reports: South Florida hospitals, CEOs settle; terms unknown
No terms, parties or filings were in the material read, and no public response turned up in the reports read. ⏳
Settlements · 💸 Pardoned financiers ranked: Trevor Milton's $680M ask is No. 1
Prosecutors sought $680M restitution from Trevor Milton; his pardon ended it. He says he did nothing wrong. 🗣️
Settlements · ⚖️ Boeing's $2.5B 737 MAX deal was not a derivative settlement
Boeing's DOJ deal split $2.5B three ways. A derivative recovery goes to the company, and a court must approve it. 📌
Sports · ⚽ Crystal Palace sack Pierre Sage after 16 games, bottom of table
Palace confirmed Sage's exit with three staff; the club's statement thanks him. Payout terms are not reported. 🗣️