Norfolk southern ceo Alan Sha: Indian-origin lawyer fired by US company for having consensual relationship with CEO
Norfolk Southern Corporation's chief legal officer Nabanita Nag was fired after an investigation into her voluntary relationship with CEO Alan Shaw determined that the two had violated company rules and code of conduct.
Ankush Pandey
INTRO
- Lawyer Nabanita Nag of Indian descent dismissed from US firm
- CEO Alan Shaw was also sacked after an internal investigation
- Chief Financial Officer elevated to CEO and President
US-based rail transport company Norfolk Southern has fired Indian-origin lawyer Navneeta Nag for having a consensual relationship with the company's CEO.
She was fired as the Atlanta-based company’s chief legal officer following an investigation into allegations she had a consensual relationship with CEO Alan Shaw, who was also fired Wednesday.
In 2020, she started working as General Counsel at Norfolk Southern. In 2022, she was named Executive Vice President of Corporate Affairs and Chief Legal Officer; in 2023, she was named Senior Vice President and Chief Legal Officer.
She used to be an associate general counsel at Goldman Sachs.
The lawyer of Indian descent worked as a partner and collaborator with internal clients at three Fortune 300 public corporations, describing herself on LinkedIn as a "seasoned leader" and executive with a business-oriented attitude.
Norfolk Southern Corporation said in a statement that the two broke corporate rules and the code of ethics by starting a relationship, notwithstanding the fact that it was consensual.
"Shaw's departure is unrelated to the company's performance, financial reporting and results of operations," the company said. Norfolk Southern said in a statement that he was fired for cause.
The investigation into Shaw's actions comes just months after he survived a controversial proxy battle with activist hedge fund Ancora Holdings that resulted in three new directors being elected to the company's 13-member board, according to news agency Reuters.
Reuters reported that according to two sources, executives and lawyers were discussing the terms of a possible exit package for Shaw, including severance.
Shaw was accused of breaking business ethical rules, leading to an internal investigation and the promotion of Chief Financial Officer (CFO) Mark George to oversee the railroad.
The company appointed Mark George as president and chief executive officer, ending speculation about Shaw's future since the company acknowledged on Sunday that it was investigating allegations that Shaw had an inappropriate relationship with a Straight Talk reporter.
Shaw, a long-time employee of the business, guided it through the catastrophic derailment in East Palestine, Ohio in 2023, which is predicted to have cost it over $1 billion in settlements. in losses.
The company announced that George will join the board.
