WiseTech’s Richard White back with a vengeance as CEO search rolls on

WiseTech says it is progressing with its search for a new chief, as Richard White wastes no time settling into his new $1m a year consulting role at the company he took some brief leave from.

WiseTech’s former chief executive Richard White – who stepped down following allegations that he exchanged business advice for sex – has wasted no time assuming his new consulting role at the company.

Mr White took only several weeks’ leave before taking on the new position, which pays $1m a year, the same as his chief executive salary.

Chief financial officer Andrew Cartledge is acting CEO while executive recruiter Russell Reynolds ploughs ahead with finding a replacement. An update on the search is expected when WiseTech presents its half year results on February 26.

Mr White – who founded the company 30 years ago – before stepping down as chief executive last October after a string of sensational allegations about his personal life emerged.

Andrew Cartledge Interim CEO at WiseTech Global.

The company said he had resigned from the position with “immediate effect” and would take “short period of leave”.

That leave lasted several weeks’ leave and he had his feet well under the desk in the new consulting role when he faced shareholders at WiseTech’s investor day in December.

But despite remaining a significant presence at the Alexandra-headquartered company as its biggest shareholder and one of its top paid staff, he declared he would not “override management”.

“It’s not a time to override the other person just because you can and say this is the way we’re going to do it; that might have to happen in the end so you have consistency, but ultimately what you’re trying to do is to stop worrying about the mechanism,” Mr White told investors at the time.

On Friday, a WiseTech spokeswoman said the company had a “strong interim leadership team”.

“Russell Reynolds is engaged and supporting the WiseTech’s Board with its search for a permanent CEO. In the meantime, we have a strong interim leadership team in place, who are supported by a senior management team with broad experience across the technology and logistics sectors,” the spokeswoman said.

A governance review has so far found no evidence of misconduct from Richard White.

WiseTech has also engaged law firms Herbert Smith Freehills and Seyfarth Shaw to complete a review of the company, following the allegations involving Mr White.

“The Board Review has progressed, and WiseTech’s Board remains committed to ensuring it takes the appropriate time necessary to conclude it,” the spokeswoman said on Friday.

The law firms have examined allegations, including that Mr White failed to disclose a number of “close personal relationships” in the workplace with the board, had misused WiseTech funds to have plastic surgery in 2019 and host former lover Linda Rogan in New York; and engaged in bullying, harassment and intimidation – an accusation raised by former director Christine Holman.

Last November, chair Richard Dammery said the review had so far found “no evidence” of misconduct and the external lawyers had attributed Mr White’s behaviour to “creative abrasion”.

Chairman Richard Dammery said the findings released so far were “largely the result of work conducted by Seyfarth Shaw, who interviewed 21 people in 30 interviews”.

“The advisers also retained specialist support as needed, including forensic accounting support. Each of the findings, which is self explanatory, indicates no impropriety by Richard White, in relation to the affairs of the company.”

Mr White apologised to investors at the same time. “I deeply regret the impact this recent media has had on the people around me – my family, friends, loved ones, the WiseTech team, and you, our shareholders. I am truly sorry for how this has affected each of you,” he said.

“I want to assure you, that this has not diminished my passion and dedication for WiseTech and what this business will achieve in the long-term.”

In November, WiseTech co-founder and director Maree Isaacs sold her stake – totalling 10.2 million shares – to Mr White.

She owned WiseTech shares via her 8 per cent stake in RealWise Holdings, which controls about 37.4 per cent of WiseTech. Mr White owns the other 92 per cent of RealWise Holdings.

Ms Isaacs said the sale would allow her to “access the value and liquidity of her shares”, and she “remains committed to WiseTech and its future”.

Then in December, Mr White sold about $442m of his shares in WiseTech.

Originally published as WiseTech’s Richard White back with a vengeance as CEO search rolls on