by Shalini Ramachandran, Jenny Strasburg and AnnaMaria Andriotis at The Wall Street Journal
Founder quit after board moved to investigate whistleblower allegations, which he denies, including use of luxury property and travel
World Economic Forum founder Klaus Schwab is under investigation by the organization he created after a new whistleblower letter alleged financial and ethical misconduct by the longtime leader and his wife.
The anonymous letter was sent last week to the Forum’s board and raised concerns about the Forum’s governance and workplace culture, including allegations that the Schwab family mixed their personal affairs with the Forum’s resources without proper oversight, according to the letter and people familiar with the matter.
It included allegations that Klaus Schwab asked junior employees to withdraw thousands of dollars from ATMs on his behalf and used Forum funds to pay for private, in-room massages at hotels. It also alleged that his wife Hilde, a former Forum employee, scheduled “token” Forum-funded meetings in order to justify luxury holiday travel at the organization’s expense.
Klaus Schwab in recent days argued against an investigation, telling board members that he denied the unsubstantiated allegations and that he would challenge them in a lawsuit, the people said.
The board of trustees decided to open a probe during an emergency…
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