Norfolk Southern, a US-based rail transportation firm, has fired an Indian-origin lawyer, Nabanita Nag, over her consensual relationship with the corporate’s CEO.
She was fired from her place as chief authorized officer of the Atlanta-based firm following an investigation into allegations of a consensual relationship with CEO Alan Shaw, who was additionally fired on Wednesday.
She joined Norfolk Southern in 2020 as common counsel. She was named senior vice chairman and chief authorized officer in 2022 and government vice chairman of company affairs and chief authorized officer in 2023.
She beforehand labored at Goldman Sachs as an affiliate common counsel.
The Indian-origin lawyer described herself on LinkedIn as a “seasoned chief” and government with a business-oriented strategy, working as a accomplice and collaborator with inside shoppers at three Fortune 300 public firms.
Regardless of the consensual nature of the connection, Norfolk Southern Company stated in an announcement that the 2 violated firm insurance policies and ethics code by coming into right into a relationship.
The corporate stated “Shaw’s departure is just not associated to the corporate’s efficiency, monetary reporting or outcomes of operations,” including that he was fired for trigger, Norfolk Southern stated in an announcement.
In response to Reuters information company, the investigation into Shaw’s actions comes simply months after he survived a contentious proxy battle with activist hedge fund Ancora Holdings, which resulted within the election of three new administrators to the corporate’s 13-member board.
Reuters reported that executives and legal professionals have been discussing the phrases of a doable exit bundle for Shaw, which features a severance cost, in response to two sources.
Chief Monetary Officer (CFO) Mark George was promoted to move of the railroad following an inside investigation into allegations that Shaw had violated the corporate’s ethics insurance policies.
The corporate has tapped Mark George as president and chief government, ending days of frenzied hypothesis about Shaw’s future because the firm acknowledged Sunday that it was investigating allegations that Shaw had an inappropriate relationship with a direct report.
Shaw, who had labored on the firm for many years, led it by way of the disastrous 2023 derailment in East Palestine, Ohio, an incident anticipated to value the corporate greater than $1 billion in settlements.
The corporate introduced that George will be a part of the board of administrators.