A WWE stock price lawsuit has Vince McMahon and other senior executives in the company fighting to have the charges dismissed, according to backstage insider reports.
In a related report by The Inquisitr, the WWE may be suing a former creative team writer Kevin Marshall for speaking out on message boards and revealing how WWE Creative creates their story lines. Alberto Del Rio also won his WWE lawsuit and now that he’s changed his name to Alberto El Patron, the wrestler claims the truth about racism in the WWE will become public.
A WWE stock holder named Curtis Swanson is targeting Vince McMahon and WWE CFO George Barrister specifically over statements made during a presentation at the December 2013 UBS Global Media and Communications Conference where the potential for a new NBC Universal TV deal was discussed. The WWE lawsuit claims the defendants “(i) made false and misleading statements, (ii) engaged in a scheme to deceive the market, and (iii) engaged in a course of conduct that artificially inflated the price of WWE securities and operated as a fraud or deceit on Class Period purchasers of WWE securities by misrepresenting the Company’s business and prospects.”
The company had until November 25, 2014 to file a motion to dismiss the class action lawsuit based upon the WWE stock. According to Wrestling Inc., Vince McMahon is apparently working on this very issue right now.
“WWE is working on getting the lawsuits that were brought against them, based on the idea they violated SEC regulations with the new TV deal, dismissed.”
There are actually multiple lawsuits claiming the WWE committed securities fraud by overstating the “anticipated value of the TV contract during the stock run up prior to the actual terms of the TV deal being announcement to investors.” The sudden drop in the WWE stock price caused investors to lose hundreds of millions of dollars and the WWE stock price still has not recovered to this day. While the value has recovered a little, reaching $13.37 as of this publishing, the current WWE stock price is less than half of its peak met during March of this year.