The board of directors of CBS Corp. announced Monday that it would conduct an investigation into allegations of inappropriate conduct by Chief Executive Leslie Moonves and review the workplace culture inside the venerable television network.
In a statement, the board said it was "in the process of selecting outside counsel to conduct an independent investigation. No other action was taken on this matter at today's board meeting."
The 14-member board already had been scheduled to meet via telephone conference call on Monday for a briefing on the company's earnings, which are to be released later this week. But the group immediately had to grapple with a bigger issue: how best to investigate explosive allegations regarding Moonves' conduct that were contained in a story published Friday by the New Yorker magazine.
There had been some speculation earlier in the day that Moonves might step aside during the investigation.
Six women accused Moonves of "forcibly kissing" them, and some of the women said they believe that their careers were hampered when they spurned Moonves' advances, according to the article.
The incidents were alleged to occur in the 1980s, 1990s and 2006. The article also raised questions about whether "60 Minutes" executive producer Jeff Fager acted boorishly and whether the company tolerated abusive behavior by higher-ups.
For Moonves, the allegations could bring an inglorious end to otherwise spectacular career, which saw the former actor scale great heights to become the most powerful man in television. Over the years, he has developed such hits as "Survivor," "Friends," "CSI: Crime Scene Investigation" and "The Big Bang Theory." CBS has been America's most-watched network for 10 years.
Moonves also maintained the distinction of being one of America's highest paid CEOs. Last year, he received a compensation package worth nearly $70 million.
But the 68-year-old executive had been on a tightrope even before the claims surfaced. Since May, Moonves and other members of CBS' board have been locked in a bitter dispute with the company's controlling shareholder, Shari Redstone, who has agitated for big changes at the top of CBS. She has also pressed for a merger with Viacom Inc., which her family also controls _ a campaign that Moonves resisted.
CBS has said there have been no reports of sexual harassment during Moonves' long tenure.
Moonves on Friday offered his own statement: "I recognize that there were times decades ago when I may have made some women uncomfortable by making advances," he said. "Those were mistakes, and I regret them immensely. But I always understood and respected _ and abided by the principle _ that 'no' means 'no,' and I have never misused my position to harm or hinder anyone's career."
Moonves last year signed a new employment agreement that pushed his retirement to June 2021. The deal made him eligible for a golden parachute should he leave before that date.
The contract entitled Moonves to at least $187 million _ and potentially as much as $280 million _ should he be dismissed or demoted, or if he decided to leave, according to an analysis this spring by Bloomberg News.
It is unclear whether the allegations contained in the New Yorker report rise to the level of "cause" for termination, but if so, CBS would owe him a much smaller severance.
