Vince McMahon, the top shareholder in World Wrestling Entertainment, personally paid $14.6 million in previously un recorded expenses after he announced his retirement last week.
The company's board is currently overseeing an independent review of the allegations of improper conduct.
In an SEC filing Monday morning, the company said it has received and may receive in the future, regulatory, investigative and enforcement inquiries, subpoenas or demands.
The amount reported by The Wall Street Journal was more than the one reported by the company. McMahon is said to have paid money to women to ensure their silence over alleged affairs and misdeeds.
The company's internal control over financial reporting was not effective because of one or more material weaknesses. The un recorded expenses will be reflected in the updated reports for 2020 and 2021, as well as this year's first quarter. The company was supposed to report on August 9.
McMahon is the company's largest shareholder. The stock of the company rose Monday. Even though the S&P 500 is down 15% this year, it is still up more than 30%.
Leadership changes followed the disclosure. McMahon will act as chairwoman and co- CEO. The co-CEO will be Nick Khan.
Paul Levesque, also known as Triple-H, will take over the company's creative control after his father-in-law, Vince McMahon, stepped down. Levesque took a break after a "cardiac event" was reported. He became the executive vice president of talent relations. Levesque is married to a woman.
Vince McMahon holds 32% of the company's stock, keeping a tight hold on it.
The WWE reported operating income of $69.8 million in the second quarter, up from $46.3 million in the same period a year ago.
Alex Sherman was a contributor.
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