Why Richard White stood down as WiseTech CEO

Despite his wealth, Richard White was little known outside the tech industry until recently. Catch up on the scandals that pushed him into the headlines – and out of a job.

Late on Thursday, October 24, WiseTech Global advised the Australian Stock Exchange that CEO and founder Richard White was standing down with immediate effect.

The ASX notice said Mr White will “take a short period of leave and transition into a new role with the company”.

The role would be a full-time consulting role “focused on product and business development,” the company said.

“It has been a challenging time for me personally, my family and close friends, and for the company that I have built and truly love,” Mr White said.

Read up on the business story that’s had Australia talking for weeks.

Reaction to White’s decision to step down

WiseTech chair Richard Dammery praised Mr White following his resignation and said he had “put the company and its shareholders first” in making his decision.

“Richard has consistently demonstrated a rare combination of foresight, intellect, capability and ambition,” Mr Dammery said.

“All great entrepreneurs achieve what others consider to be impossible, and Richard has most certainly done this at WiseTech.”

Who is Richard White?

Previously a musician and refrigeration engineer, 69-year-old Sydney based tech entrepreneur Richard White founded WiseTech in 1994 and is now one of Australia’s richest chief executives. His company’s signature global logistics software now services 18,000 customers across 170 countries and his recently declining fortune peaked at more than $12bn.

WiseTEch CEO and founder Richard White. Picture: Nic Walker

Why is he in the headlines?

In August Mr White brought a bankruptcy notice against a former lover and business associate, Sydney beauty entrepreneur Linda Rogan, but she filed a court application against the notice several weeks later.

The Australian reported that in her Federal Court filings, Ms Rogan alleged Mr White expected her to have sex with him in exchange for an investment in her business.

“When I met Richard, I genuinely believed he was interested in investing in my business … After a few weeks I realised Richard was pursuing a sexual relationship,” Ms Rogan stated in her court filing.

But the action appeared to be linked to a dispute over $92,000 Ms Rogan spent on furniture for a mansion in Sydney’s Vaucluse. Ms Rogan alleged Mr White bought the mansion for her in 2022, but booted her out just months later after Mr White’s then girlfriend (now wife) Zena Nasser discovered that their relationship was sexual.

WiseTech founder Richard White and wellness entrepreneur Linda Rogan. Picture: NewsWire

Ms Rogan had attempted to retrieve the $92,000 via a garnishee order in April, but Mr White had this overturned in August and then pursued the bankruptcy motion against her.

On October 21 the court case was dropped, with the two parties reportedly agreeing to a settlement and a nondisclosure agreement. The Australian on Wednesday reported that Mr White paid more $1 million to Ms Rogan after previously rejecting an offer to settle for $400,000.

After Ms Rogan’s story came to light, reports emerged of Mr White’s dealings with other women.

Sydney-based psychologist Jenna Riches told The Australian she reached out to Mr White for business advice on LinkedIn, but his messages toward her became sexual after he learned she was single. The pair had a brief sexual relationship, she confirmed.

Jennifer Riches said Richard White’s messages to her quickly became sexual in nature. Picture: Jane Dempster

It was also reported Mr White bought another Sydney home for another businesswoman with whom he was in a relationship, Marcia Kensell, and on October 23, Nine newspapers reported the WiseTech CEO had also had a lengthy relationship with a company employee, and bought her a waterfront Melbourne property worth $7 million.

What about his real estate empire?

While Mr White’s purchases of various properties have prompted headlines, his own real estate holdings are substantial.

He lives in a luxury off-the-grid security compound in the Sydney suburb of Bexley, the mainly working-class suburb where he grew up.

He’s enlarged the footprint of the compound with the purchase of neighbouring homes, paying $3.5m for one of them in 2021 – a figure twice the average price of a house in Bexley.

“He’s going to end up buying all of Bexley,” one neighbour remarked recently.

Council documents reveal plans to build a new single storey dwelling, complete with pickleball and squash courts and a basement garage.

WiseTech founder Richard White's Bexley properties, in Sydney's southwest suburbs. Mr White, worth an estimated $10 billion, bought his family home, bulldozed it and built an off the grid mansion.

Sex and the workplace: a fraught issue

Workplace relationships can create difficulties for companies, particularly when they involve the CEO and a direct report, or someone else connected to the business.

In 2019 McDonald’s ousted its global CEO for engaging in a consensual relationship with a subordinate, while previous CEOs from companies as diverse as Intel, Lululemon, Priceline, Boeing and Bestbuy have resigned or been pushed out after it emerged that they had been in relationships with staff.

WiseTech’s board has said it is formally investigating the allegations against Mr White. It’s understood that none of the accusations raised so far amount to a breach of the company’s ethical standards.

What’s been the effect on WiseTech’s share price?

In a word: dire. The value of WiseTech’s shares have plunged nearly 20 per cent in the past month. But in addition to being WiseTech’s CEO, Mr White is also its largest shareholder, meaning he has lost billions in personal wealth since the relationship allegations were made public.

Richard White speaking at a conference in Sydney in 2023. Picture: John Fotiadis

What is ASIC doing?

In a press conference on Wednesday, ASIC deputy chair Sara Court said they are aware of the allegations against Mr White and were monitoring developments but would not comment further.

How much was Richard White worth?

The 2024 AFR list of Australia’s 100 wealthiest people had Richard White hammering on the door of the top 10, at number 11. His fortune was estimated at $11.63 billion at the time of the list, in May, up more than 27 per cent in a year. And Forbes has tracked the impressive rise in his wealth over the past four years – from US$1.1bn (A$1.65bn) in 2020, to US$4.6bn (A$6.89bn) in 2022 and US$8.2bn (A$12.28bn) this year.

What does WiseTech actually do?

Richard White founded WiseTech in 1994 with Maree Isaacs, specialising in writing code for freight companies. Their logistics platform CargoWise launched in 2014 and it’s now considered a global leader in the freight and logistics industry. WiseTech listed on the Australian Securities Exchange in 2016 with a value of $1 billion and now employs some 3300 people across 37 countries.