World Economic Forum to Probe Allegations Against Founder Klaus Schwab

GENEVA — The World Economic Forum has announced that its board has unanimously supported an independent investigation into allegations of misconduct by founder Klaus Schwab. The decision comes after a report by The Wall Street Journal cited a whistleblower letter alleging financial and ethical misconduct by Schwab, 87, and his wife, Hilde.

The allegations, sent in an anonymous letter to the board last week, include claims that the Schwab family mixed their personal affairs with Forum resources. The Forum's board, which includes notable members such as former US Vice President Al Gore, Jordan's Queen Rania, and European Central Bank President Christine Lagarde, agreed to the investigation following a decision by its risk and audit committee.

The Forum emphasized that the allegations remain unproven and will await the outcome of the investigation before commenting further. The allegations emerged two days after the WEF announced Schwab's retirement as chairman, with former Nestle Chairman and CEO Peter Brabeck-Letmathe taking over as interim chairman.

The World Economic Forum is known for its annual gathering in Davos, Switzerland, which hosts top business executives, government leaders, academics, and celebrities to discuss global issues and policy. The investigation into Schwab's conduct will likely draw attention to the organization's leadership and governance.