Vince McMahon, the executive chairman of the board at TKO Group Holdings and founder of WWE, has resigned from both positions in response to recent allegations of sexual assault and sex trafficking, according to a memo from WWE obtained by CNBC and confirmed by the company.
Nick Khan, the president of WWE, stated, “Vince McMahon has tendered his resignation from his positions as TKO Executive Chairman and on the TKO Board of Directors. He will no longer have a role with TKO Group Holdings or WWE.”
This decision follows the public revelation of allegations on Thursday, accusing McMahon of sexual assault and sex trafficking. McMahon has vehemently denied these allegations. In a statement released on Friday, he expressed, “Out of respect for the WWE Universe, the extraordinary TKO business, and its board members and shareholders, partners and constituents, and all of the employees and Superstars who helped make WWE into the global leader it is today, I have decided to resign from my executive chairmanship and the TKO board of directors, effective immediately.”
The recent legal action was initiated by Janel Grant, who claims McMahon instructed her to engage in sexual activities with a WWE “superstar” and other individuals. Grant’s lawsuit aims to nullify a nondisclosure agreement she alleges she entered into with McMahon in early 2022. The suit contends that McMahon initially agreed to pay her $3 million as part of the agreement but ultimately only paid $1 million in exchange for her silence regarding his behavior.
Alongside McMahon, the lawsuit names WWE and John Laurinaitis, the former head of talent relations and general manager of the company, as defendants. The legal action comes six months after federal law enforcement agents executed a search warrant on McMahon and served him with a grand jury subpoena, investigating his payment of millions of dollars to multiple women, including Grant, following allegations of sexual misconduct.
McMahon, who had previously resigned from WWE leadership roles in mid-2022 during an internal investigation, only to return as its leader in early 2023, paid WWE $17.4 million last March to cover the costs of a probe into those payouts by a law firm retained by the company.
