WWE shareholder Amer Dastgir has filed a lawsuit against various WWE Executives including Vince McMahon, Stephanie McMahon, Triple H (Paul Levesque), and former co-Presidents George Barrios and Michelle Wilson.
Dastgir accuses the Executives of selling more than $300 million worth of stock at inflated prices at a time where they kept the public in the dark regarding the collapse of key Middle East broadcasting deals.
The lawsuit accuses WWE of telling investors the company was set to renew an agreement with Orbit Showcase Network in Riyadh while knowing in advance that OSN was no longer doing sports broadcasting.
WWE is also accused of misleading investors about the chances of finding a replacement deal once OSN was out.
This was years ago when McMahon sold 3.5 million shares, which was worth more than $280 million. The lawsuit states he allegedly did so based on “nonpublic information regarding the company’s key contracts, business metrics, and financial prospects” in the Middle East region.
Other Executives sold stock worth $30 million based on the alleged inside information. At the time, WWE’s stock price went from $62 a share to $44.50 when details about WWE’s business in the region came out.
The plaintiff wants “punitive and actual damages, costs, and fees” in relief of the alleged “Breach of fiduciary duty; unjust enrichment; aiding and abetting” actions.