Bausch & Lomb's CEO forfeits bonus for lie
Is this a first in recent US corporate history? According to this New York Times story (registration required):
In a small but significant sign that the boss won't get away with it any more, Bausch & Lomb will not be paying its chief executive a bonus this year after he admitted misrepresenting his educational record on his CV.
The eyecare products maker said on Tuesday that Ronald Zarrella, who has been its chairman and chief executive for less than a year, would forfeit any annual incentive bonus for 2002. The decision will cost him a minimum of $1.1m, which was guaranteed under his contract.
...But the board said his "lapse in judgment" could not pass without consequence, and docked his bonus. It also expressed its irritation that he "did not communicate with us and with the employees in a completely straightforward manner when the problem arose."
...Mr Zarrella's treatment, and Bausch & Lomb's stance of disapproval, will be closely watched. The company was recently placed joint first by Standard & Poor's in a list of US companies judged by transparency and disclosure.