Will he get a reward?
Earlier this week, a footnoted.org regular pointed us to this pretty unusual press release announcing the resignation of Maximus (MMS) CEO Lynn Davenport’s resignation for what it described as "violating the company’s standards of business conduct and ethics" and then briefly noted that the violation was in regards to a female employee. In the same release, the company announced that former CFO Rich Montoni, who only left last month, was returning to the company to become CEO and President.
Not mentioned in the release — other than a brief mention of a 2-3 cent legal and settlement charge — was anything about Davenport’s goodbye gifts. Indeed, news reports say those charges are related to a settlement with the employee, who has left the company, as opposed to anything given to Davenport. According to the proxy, Davenport did not have either an employment or severance agreement, so it will be interesting to see whether the former CEO, who made $825K last year between salary and bonus, will walk away with some nice parting gifts.