eBriefing

Intel’s CEO Krzanich Resigns: A warning for boards

By Eve Tahmincioglu

Brian Krzanich, resigned as CEO of Intel last week after it was revealed he had an affair with an employee.

There are few details beyond the company's official press release, but it appears the board didn’t know about the relationship.

It seems as though Krzanich isn’t alone in his secrecy. A Stanford study examined CEO misbehavior that got extensive media attention and found 34% of the incidents involved reports of a CEO lying to the board or shareholders over personal matters — such as a drunken-driving offense, prior undisclosed criminal record, or falsification of credentials. And 21% involved a sexual affair or relations with a subordinate, contractor, or consultant, the report found.

Truth in Financial Reporting: Is the CEO lying?

By Jan Alexander

Investors who want to know what’s going on at a company beyond the quarterly financial results and standard accounting metrics have a growing wealth of sources to consult. That makes the audit committee’s task of staying on top of financial reporting integrity more challenging than ever.

“A core function of the audit committee is to stand in the shoes of investors,” says Cindy Fornelli, the executive director of the Center for Audit Quality (CAQ) in Washington, D.C., an audit standards advocacy organization. “And what we’ve heard from investors is that they want meaningful and relevant disclosures, so the audit committee should not only advocate for this, but should take a leading role in working with company management on how best to provide this information.”

What to Know Before Joining a Private Company Board

Serving on the board of a privately owned company is a great opportunity to apply your skills and insights without the regulatory regime of public company board service. But you may encounter potential issues in terms of liability which can be unique to private companies. Join Moses & Singer LLP partners, David Lee Kovac, Allan Grauberd, Lindsay Kaplan and David Shaw of  Directors & Boards and  Private Company Director for a free webinar July 18 at 2 p.m. ET as they explore three key areas to consider: due diligence, indemnification, and directors and officers insurance. The webinar is sponsored by Moses & Singer LLP.

Transitions West ( November 7-9, 2018)

THE CONFERENCE  FOR FAMILY BUSINESSES  BY FAMILY BUSINESSES

Taking the Business From the Founder to the Future.

Transitions West 2018 will address:

• Pivotal Moments for the Family Business
• Family:  More Complicated Than It Seems
• Evolution of the Family Council
• Making an Impact as a NextGen
• Building the Family Legacy in a Disruptive World