By Jason Powell, ProWrestling.net Editor (@prowrestlingnet)
WWE issued the following press release on Friday.
Stamford, Conn. – WWE (NYSE: WWE) and the Board of Directors today announced that a Special Committee of the Board is conducting an investigation into alleged misconduct by its Chairman and CEO Vincent McMahon and John Laurinaitis, head of talent relations, and that, effective immediately, McMahon has voluntarily stepped back from his responsibilities as CEO and Chairman of the Board until the conclusion of the investigation. McMahon will retain his role and responsibilities related to WWE’s creative content during this period and remains committed to cooperating with the review underway.
The Special Committee has appointed Stephanie McMahon to serve as interim CEO and interim Chairwoman.
“I have pledged my complete cooperation to the investigation by the Special Committee, and I will do everything possible to support the investigation. I have also pledged to accept the findings and outcome of the investigation, whatever they are,” said Mr. McMahon.
“I love this company and am committed to working with the Independent Directors to strengthen our culture and our Company; it is extremely important to me that we have a safe and collaborative workplace. I have committed to doing everything in my power to help the Special Committee complete its work, including marshaling the cooperation of the entire company to assist in the completion of the investigation and to implement its findings,” said Ms. McMahon.
WWE and its Board of Directors take all allegations of misconduct very seriously. The Independent Directors of the Board engaged independent legal counsel to assist them with an independent review. In addition, the Special Committee and WWE will work with an independent third-party to conduct a comprehensive review of the company’s compliance program, HR function and overall culture.
The Company and the Board do not expect to have further comment until the investigation is concluded.
Powell’s POV: It doesn’t look like much will change for the wrestlers or the viewers given that Vince will remain the head of creative. Meanwhile, it’s been quite the whirlwind period for Stephanie, who announced her leave of absence from the company on May 19.
Jason. You always have a pulse on what’s going on. What is your opinion based on what we know right now?
Too many sites have 13 years olds spouting random conspiracy theories so I wonder where you think all of this is headed
Spoke a lot about it yesterday on our Dot Net Weekly podcast for members. Jake Barnett did the heavy lifting and came in armed with a lot of details about how difficult it would be for Vince to ever be ousted due to the amount of stock he owns and because of the way things are structured with the board.
When it comes to the NDA payoffs, it’s hard to believe he would be crazy enough to pay with company funds. On the off chance that he did, that would be really bad for him, but seeing is believing.
One of the key details is whether the paralegal he had the affair with truly did have her pay doubled because she was with him. They should be able to compare her compensation to what other paralegals with roughly the same experience and time with the company have been paid. The reason this is an issue is because that’s company money, not Vince’s own money.
And who knows what else the investigation will uncover. For that matter, as we’ve seen with the Me Too and Speaking Out movements, once one person comes forward, it often leads to others stepping forward and sharing their own stories. I’m not saying that Vince necessarily falls into that category because the allegations against him came from an anonymous email, and the relationship in question was described as consensual.
But Rita Chatterton did accuse him of sexual misconduct. There was the bizarre tanning booth incident. And it’s been reported that the investigation uncovered other NDA agreements. So only time will tell if there are other things that will be uncovered or if the attention this story has received could lead to someone stepping forward to accuse him of something.
As far as Stephanie taking interim control, it’s a move to show that Vince is cooperating. But Vince is still running creative and is even appearing on TV tonight, so he’s obviously still maintained his power even if he’s lost big titles temporarily.
I know focusing on the wrong thing, but Ms McMahon instead of Mrs? Did her and Trips have an issue or are we refering to her as a McMahon instead of a Levesque for continuity (share prices)?
Jason. Thanks for the follow up! I remember the steroid trial but we have so much more instant access to information these days. This is all going to be very fascinating
Do Linda or Steph (or Hunter) have enough stock combined to change the direction of the Company or is Vince pretty much solely in control
Well that was a brief respite from WWE for Stephanie. This type of stuff with Vince McMahon has sporadically turned up over the years which has hinted at the side of him that is an unsavory character, outside of scripted television. All that can be done is to let the facts come out.
Definitely focusing on the wrong thing, Bob. Just formal thing.
Much like the Mafia Stephanie McMahon thought she was “out” and then ended up being pulled back in. So much for taking a “leave of absence” and getting away from the business.
These “hush money” payoffs could be the reason for a lot of those releases/firings that made zero sense. Example, someone headlining WrestleMania and then a month or so later being released/fired without any real explanation. High profile people being let out of contracts that weren’t worth the paper they were printed on as WWE could simply “get rid” of them on a whim.
I had knee surgery today and recovery didn’t go well with the drugs not wearing off like they should have. I’ve been reading through the insanity of all this stuff for the last 30 minutes and it’s making me think I’m still conked out on the operating table.
What in the actual F is going on?
Best of luck with your recovery.