Update On Cost Of WWE's Internal Investigation Of Vince McMahon And Who Is Paying For It

WWE's investigation into Vince McMahon — which saw the 76-year-old resign from the company in the midst of sexual misconduct allegations that involved non-disclosure agreements and millions of dollars of unaccounted hush money paid to former employees — hasn't come without further cost to the former chairman and CEO. 

On this morning's WWE second quarter 2022 earnings call, Chief Financial and Administrative Officer Frank Riddick confirmed that the company's financials had now been revised due to the revelation of McMahon's unaccounted payments, but also revealed that a further $1.7 million dollars was included in the adjustments. This money covered the cost of the investigation itself, as well as anything else paid by the organization that was not covered by insurance. Riddick disclosed that McMahon himself would foot the bill for the costs incurred during the process of the investigation. McMahon, who remains a stockholder with a controlling interest, had reportedly racked up $19.6 million dollars in unaccounted payments, forcing WWE to make alterations to their second quarter results and delay their release until today.

Riddick also confirmed that McMahon had "resigned," and that John Laurinaitis, whose name appeared in the damning allegations initially revealed by The Wall Street Journal, was released from his contract. McMahon held the executive positions of chairman and CEO until he announced his retirement from WWE on July 22, replaced by his daughter Stephanie McMahon, who will serve as chairwoman and co-CEO alongside fellow co-CEO Nick Khan. Meanwhile, Laurinaitis had been serving the company as EVP of Talent Relations before the details of his and McMahon's conduct came to light. Laurinaitis was initially removed from his post in June and was ultimately replaced by Paul "Triple H" Levesque — who is also now serving the company as head of creative — last month. 

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