Despite a number of allegations from board members claiming former GE CEO Jeff Immelt and other executives participated in fraud and financial abuse, the GE board of directors has decided against trying to get financial compensation from Immelt.
According to a story in the Wall Street Journal, the board’s investigation did not support any of the claims against former GE executives. As a result, the board is deciding against taking the case to court, and effectively ending the three-year investigation into Immelt’s tenure as CEO.
A spokeswoman for GE did provide confirmation of the board’s decision by releasing a statement that said, “We have significantly enhanced our disclosures and internal controls and are a stronger company today.” Immelt and shareholders have not commented on the board’s decision to not ask for money.
When Immelt left GE in 2017, he was not awarded a severance package. The previous year, his total compensation from GE topped $21 million. He was also the subject of a story about his travel practices, which often included a second jet to follow him on business trips. The second jet, which was empty, followed Immelt in the event of mechanical problems with the first. Immelt insists he never asked for the second jet for his trips.
Less than one month ago, tED magazine reported GE paid a $200 million settlement to the Securities and Exchange Commission without admitting or denying SEC claims of disclosure failures in its power and insurance businesses back in 2017 and 2018.