(Bloomberg) -- Vince McMahon has resigned as chairman of TKO Group Holdings Inc. after a former employee accused him of sex trafficking.
McMahon said he intends to vigorously defend himself against the claims but will step down “out of respect” for TKO and the WWE business, according to a statement Friday.
Janel Grant, a former World Wrestling Entertainment Inc. employee, said in a lawsuit this week that she was sexually exploited and degraded by McMahon during his time as chief executive officer. She said she was forced to perform sexual acts in exchange for employment and that she was trafficked to other men at the company by McMahon.
McMahon on Friday reiterated an earlier denial of the claims.
Read more: Vince McMahon Accused of Sex Trafficking by Ex-WWE Employee
WWE President Nick Khan said in a separate statement that McMahon will no longer have a role with either TKO or WWE.
McMahon retired from WWE in July 2022 after it was announced that he was being investigated by his board for agreements to pay $12 million over the past 16 years to settle allegations of sexual misconduct brought by four women affiliated with the company at different times. He returned to the company last year and oversaw its sale to Endeavor Group Holdings Inc.
Grant said she signed a non-disclosure agreement in January 2002 under “immense pressure” and in exchange for payment to stay quiet about McMahon's misconduct. She was promised $3 million, but never received the full payment, according to the lawsuit.
(Updates with more background.)
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