SoFi, a personal finance company, has announced that co-founder and CEO Mike Cagney is resigning.
In the company’s announcement, it says that SoFi CEO Mike Cagney will be stepping down from the position by the end of the year. It also notes that he has already given up the Chairman of the Board position to Tom Hutton.
SoFi has already begun the search to replace CEO Mike Cagney. However, Cagney will continue to serve in the CEO role until a replacement is found for him. The company also mentions that CFO and board member Steven Freiberg is taking extra responsibilities as its new Vice Chairman.
“I believe now is the right time for SoFi to start the search for a new leader,” Mike Cagney said in a statement. “I could not be more proud of the company we’ve built together, and I look forward to passing the baton to a new CEO who can continue SoFi’s mission of revolutionizing personal finance, helping our members to get ahead and find financial success.”
SoFi CEO Mike Cagney’s decision to step down as leader of the company comes during claims of sexual harassment against him. The CEO sent out a note to employees on Monday explaining his decision. In it, he claims that “HR-related litigation and negative press” are becoming a distraction for the company.
A
recent lawsuit against SoFi claims that Mike Cagney had inappropriate relations with several employees. It also alleges that he attempted to get around compliance restraints to expand the business more quickly.
As of this writing, William White did not hold a position in any of the aforementioned securities.
