Telenor CFO Richard Olav Aa and its general counsel Pål Wien Espen, along with the Norwegian operator’s nominees on VimpelCom’s supervisory board, have been temporarily relieved of their duties while Deloitte reviews Telenor’s handling of its 33% ownership in VimpelCom in response to the corruption allegations and multiple investigations into the Russian operator’s conduct in Uzbekistan.
Telenor (OSE:TEL) CFO Richard Olav Aa (pictured) and its general counsel Pål Wien Espen along with the Norwegian operator’s nominees on VimpelCom’s (NASDAQ:VIP) supervisory board have been temporarily relieved of their duties.
The decision comes as auditor Deloitte begins its external review of Telenor’s handling of its 33% ownership in VimpelCom in response to the corruption allegations and multiple investigations into the Russian operator’s conduct in Uzbekistan.
Telenor EVP Morten Karlsen Sørby, already part of the telco’s executive management team, is now acting CFO while Deloitte performs its review.
Telenor said its decision to relinquish the duties of Aa, Espen, and VimpelCom board nominees Fridtjof Rusten and Ole Bjørn Sjulstad, was not due to any suspicions about their actions.
Instead, it was “to avoid questions being raised about the review”, part of a wider damage limitation process that earlier this week saw Telenor sever ties with former CEO Jon Fredrik Baksaas, who had been advising the telco after retiring as CEO after 13 years.
Telenor chairman Svein Aaser has been asked to resign as part of the scandal after Norway’s industry minister Monica Mæland said she no longer had confidence in him. Mæland said she had received new information about the Uzbek case that Telenor should have disclosed to Norway’s Standing Committee on Scrutiny and Constitutional Affair, and to her.
On 4 November VimpelCom’s former CEO Jo Lunder was arrested by Norwegian police in connection with the corruption allegations.