Canada’s Royal Bank Dismisses Its CFO Due To An Undeclared Relationship

Following Nadine Ahn’s retirement, Katherine Gibson was named temporary Chief Financial Officer by Royal Bank of Canada (RY.TO), opens new tab on Friday. The appointment took effect immediately. 

Increase In Compensation

After learning of “allegations” against Ahn, the bank said it would look into the matter. The investigation revealed that Ahn had a “undisclosed close personal relationship with another employee which led to preferential treatment of the employee including promotion and compensation increases,” in violation of the bank’s code of conduct.

The bank said in a statement that as a result, both individuals’ employment was terminated. Ahn could not be reached for comment at this time.

According to the bank, the review revealed no proof of wrongdoing by the former CFO or the other employee with reference to the bank’s previously released financial statements, RBC’s strategy, or its operational or financial results. Before being named CFO in September 2021, Ahn served as RBC’s head of investor relations.