In June, WWE announced that they would be investigating allegations into Vince McMahon, following claims against the then-Chairman published in the Wall Street Journal.
McMahon was alleged to have paid off several women who it is claimed he had extramarital relationships with.
McMahon stepped down as WWE CEO and Chairman amid the investigation into him, and announced his retirement on July 25.
The Statement
This week, WWE issued its quarterly report to the US Securities and Exchange Commission.
In a statement, WWE explained how McMahon was able to make payments privately, which should have been recorded as company expenses (via PW Insider)
“We did not maintain effective risk assessment based on the criteria established in the COSO framework which resulted in deficiencies in principles associated with risk assessment. Specifically, these control deficiencies constitute material weaknesses, either individually or in the aggregate, relating to: identifying and analyzing risks to the achievement of objectives across the entity.”
The promotion added that they have plans to fix loopholes going forward that allowed such activity.
What’s next for Vince McMahon and WWE?
McMahon has resigned from all duties with WWE but the investigation into him is still going on.
McMahon has promised to respect the result of the investigation no matter the result.
With McMahon gone, Stephanie McMahon and Nick Khan have been appointed co-CEOs of WWE.
McMahon has also resigned as WWE’s head of creative, with Triple H taking on the role.
“The Game” has undone several of his father-in-law’s actions, from bans on certain words to rehiring some of McMahon’s released Superstars.
