Vince McMahon resigns from TKO day after ex-employee’s lawsuit

Vince McMahon, who co-founded modern WWE in 1982, has resigned from his role as executive chairman of TKO and his position on the TKO board of directors, he said in a statement provided to ESPN Friday evening .

McMahon, 78, is leaving the publicly traded company — which was created when the UFC merged with WWE last year — following a lawsuit filed Thursday that accuses him of sexual misconduct.

In the suit, Janel Grant, who worked in WWE's legal and talent departments, alleges that McMahon forced her into a sexual relationship so she would get and keep her job and passed pornographic photos and videos to her to other men, including others. employees. The lawsuit, which was filed in U.S. District Court in Connecticut, where WWE is headquartered, also names WWE and John Laurinaitis, the company's former head of talent relations and chief executive officer, as defendants.

Grant alleges abuse and sexual exploitation starting in March 2020, and the lawsuit included several screenshots of text messages claiming McMahon was requesting depraved sexual acts.

“I stand by my previous statement that Ms. Grant's trial is filled with lies, made-up lewd instances that never happened and constitutes a vindictive distortion of the truth,” McMahon said in the statement. “I intend to vigorously defend myself against these baseless accusations and look forward to clearing my name.

“However, out of respect for the WWE Universe, the extraordinary business of TKO and its board members and shareholders, partners and constituents, and all the employees and Superstars who have helped make WWE the leader global company that it is today, I have decided to resign from my Executive Chairmanship and Board of Directors of TKO, effective immediately.

McMahon, a multi-billionaire, resigned as WWE CEO in 2022 amid an investigation into allegations that match those in the lawsuit.

“I wanted to inform you that Vince McMahon has tendered his resignation as Executive Chairman of TKO and as a member of the TKO Board of Directors,” WWE Chairman Nick Khan told all staff in a memo obtained by ESPN Friday evening. “He will no longer have any role with TKO Group Holdings or WWE.”

Grant signed a non-disclosure agreement in 2022 as part of a deal by McMahon to pay him $3 million. That same year, WWE opened a board investigation after receiving an anonymous tip regarding the inappropriate relationship.

In the lawsuit, Grant said McMahon paid $1 million but later stopped paying. She is seeking to rescind the NDA and receive unspecified financial damages.

The 67-page lawsuit also involved a “former UFC heavyweight champion with whom WWE was actively trying to sign a new contract.”

Representatives for Grant said she wanted to go public with her allegations.

“Ms. Grant hopes her trial will prevent other women from becoming victims,” ​​her lawyer, Ann Callis, said in a statement Thursday. “The organization is well aware of Mr. McMahon’s depraved behavior, and it is time for it to take responsibility for the misconduct of its leaders.”

McMahon briefly retired from WWE in July 2022 following revelations of multiple payments to multiple women linked to allegations of sexual misconduct. The internal investigation by an outside law firm found that McMahon paid $14.6 million.

WWE said in November that McMahon had reimbursed the company and was soon back in the organization.

McMahon is credited with revolutionizing the professional wrestling industry and bringing it to the mainstream. The third-generation promoter purchased the WWF from his father in 1982 and bet big on his idea two years later with the debut of WrestleMania. The annual extravaganza – the Super Bowl of wrestling – will hold its 40th edition next April in Philadelphia.

Earlier this week, Hollywood star Dwayne “The Rock” Johnson was named to the TKO board of directors and given the trademark of his famous nickname, owned by WWE.

Also this week, WWE reached a 10-year, $5 billion-plus deal with Netflix to stream “Raw,” the promotion's weekly flagship program, starting next January.

WWE's “Friday Night SmackDown” will move from Fox to the United States in the fall, while its monthly premium live events will air on Peacock. One of WWE's four biggest annual events, the Royal Rumble, takes place Saturday in St. Petersburg, Florida.

McMahon's son-in-law, WWE Hall of Fame wrestler Paul “Triple H” Levesque, oversees the creative direction of the organization. McMahon previously held this position from the inception of the WWF in 1982 until his previous resignation in July 2022.

WWE merged in April with the company that runs the UFC to create the $21.4 billion sports entertainment company TKO Group Holdings.

Information from The Associated Press was used in this report.