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Last Updated : Jun 18, 2018 07:37 PM IST | Source: Moneycontrol.com

Audi CEO Rupert Stadler and other company heads who lost face in public

Audi CEO Rupert Stadler was detained by German authorities leading to a leadership crisis at Volkswagen. Here's a list of some disgraced CEOs who had to either leave their job or were jailed.

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The head of Volkswagen's luxury arm Audi was arrested on Monday, the most senior company official so far to be taken into custody over the German carmaker's emissions test cheating scandal.  Munich prosecutors said Rupert Stadler was being detained due to fears he might hinder an ongoing investigation into the scandal, plunging Volkswagen (VW) into a leadership crisis. (Image: Reuters)
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The head of Volkswagen's luxury arm Audi was arrested on Monday, the most senior company official so far to be taken into custody over the German carmaker's emissions test cheating scandal. Munich prosecutors said Rupert Stadler was being detained due to fears he might hinder an ongoing investigation into the scandal, plunging Volkswagen (VW) into a leadership crisis. (Image: Reuters)

Kenneth Lay | Enron | Founded in 1985 by Lay, the company went on to become an energy-trading giant worth $68 billion by 2000. However, it was later revealed that much of the valuation came by virtue of shady accounting practices and losses not recorded in its financial statements. Within a year, Enron stocks slumped to less than $1 from $90. Not surprisingly, Lay, along with fellow Enron executive Jeffrey Skilling, were convicted of fraud and conspiracy in 2006. (Image: Reuters)
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Kenneth Lay | Enron | Founded in 1985 by Lay, the company went on to become an energy-trading giant worth $68 billion by 2000. However, it was later revealed that much of the valuation came by virtue of shady accounting practices and losses not recorded in its financial statements. Within a year, Enron stocks slumped to less than $1 from $90. Not surprisingly, Lay, along with fellow Enron executive Jeffrey Skilling, were convicted of fraud and conspiracy in 2006. (Image: Reuters)

Mark Hurd | Hewlett-Packard | The story behind the ouster of Hurd from HP involves $20,000 and actress Jodie Fisher. The reality TV star, who at that time was a contractor for the tech giant, accused Hurd of sexual harassment in a letter to the company in 2010. After the board investigated the matter, it cleared him of any sexual misconduct but found that Hurd had concealed an expense of $20,000 in his reports. Eventually, he had to leave the job. Hurd currently heads Oracle. (Image: Reuters)
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Mark Hurd | Hewlett-Packard | The story behind the ouster of Hurd from HP involves $20,000 and actress Jodie Fisher. The reality TV star, who at that time was a contractor for the tech giant, accused Hurd of sexual harassment in a letter to the company in 2010. After the board investigated the matter, it cleared him of any sexual misconduct but found that Hurd had concealed an expense of $20,000 in his reports. Eventually, he had to leave the job. Hurd currently heads Oracle. (Image: Reuters)

John Browne | BP | Born to British-Hungarian parents the reason for Browne’s fall was lying to a court about how he met his boyfriend. As it was revealed that he had lied about his four-year relationship with Canadian Jeff Chevalier, he had to make an exit after an uproar over perjury accusations. He is currently the Executive Chairman of L1 Energy. (Image: Reuters)
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John Browne | BP | Born to British-Hungarian parents the reason for Browne’s fall was lying to a court about how he met his boyfriend. As it was revealed that he had lied about his four-year relationship with Canadian Jeff Chevalier, he had to make an exit after an uproar over perjury accusations. He is currently the Executive Chairman of L1 Energy. (Image: Reuters)

David Edmondson | RadioShack | Edmondson had boasted in CV that he had two degrees — one in Psychology and one in Theology — from Pacific Coast Baptist College in California. Apparently, he completed just two semesters at the college. To top that, the college has never offered a degree in Psychology. He had to resign in 2006. (Image: Reuters)
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David Edmondson | RadioShack | Edmondson had boasted in CV that he had two degrees — one in Psychology and one in Theology — from Pacific Coast Baptist College in California. Apparently, he completed just two semesters at the college. To top that, the college has never offered a degree in Psychology. He had to resign in 2006. (Image: Reuters)

Harry Stonecipher | Boeing | There is a reason affairs between co-workers is frowned upon, especially when two are at different seniority levels. When an anonymous e-mail talking about Harry Stonecipher’s affair with a female executive Debra Peabody came to light, the company who had just been hit by a similar scandal, investigated the matter. Eventually, the allegations were found to be true and Stonecipher was ousted. (Image: Reuters)
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Harry Stonecipher | Boeing | There is a reason affairs between co-workers is frowned upon, especially when two are at different seniority levels. When an anonymous e-mail talking about Harry Stonecipher’s affair with a female executive Debra Peabody came to light, the company who had just been hit by a similar scandal, investigated the matter. Eventually, the allegations were found to be true and Stonecipher was ousted. (Image: Reuters)

Chung Mong Koo | Hyundai Motor | Koo was found guilty of fraud and embezzlement, having siphoned some $100 million into a slush fund allegedly to bribe officials in 2007. After a trial, he was sentenced to three years in jail. In 2008 he received a presidential pardon. (Image: Reuters)
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Chung Mong Koo | Hyundai Motor | Koo was found guilty of fraud and embezzlement, having siphoned some $100 million into a slush fund allegedly to bribe officials in 2007. After a trial, he was sentenced to three years in jail. In 2008 he received a presidential pardon. (Image: Reuters)

Scott Thompson | Yahoo | The reason for Thompson’s ouster from Yahoo was same as Edmondson — lying about educational qualification. Apparently, he lied in his resume that he had a degree in Accounting and Computer Sciences. However, he had just one degree in Accounting. Eventually, the company parted ways from him as soon as the revelation was made in 2012. (Wikimedia Commons)
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Scott Thompson | Yahoo | The reason for Thompson’s ouster from Yahoo was same as Edmondson — lying about educational qualification. Apparently, he lied in his resume that he had a degree in Accounting and Computer Sciences. However, he had just one degree in Accounting. Eventually, the company parted ways from him as soon as the revelation was made in 2012. (Wikimedia Commons)

Ramalinga Raju | Satyam Computer | Raju had to resign after it was revealed that he was the perpetrator of India’s biggest corporate accounting scandal worth $1.5 billion. The fraud led to the collapse of the company as well as Raju. He was eventually sentenced to 7 years in jail. (Wikimedia Commons)
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Ramalinga Raju | Satyam Computer | Raju had to resign after it was revealed that he was the perpetrator of India’s biggest corporate accounting scandal worth $1.5 billion. The fraud led to the collapse of the company as well as Raju. He was eventually sentenced to 7 years in jail. (Wikimedia Commons)

First Published on Jun 18, 2018 07:37 pm
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