RBC fires CFO after probe into personal relationship

Royal Bank of Canada fired its chief Financial Officer Nadine Ahn after an internal review concluded that she was in an undisclosed close personal relationship with another employee that violated the bank’s code of conduct.

Katherine Gibson, a long-time Royal Bank employee, was named interim CFO and a search will be held for a permanent replacement, the bank said in a statement Friday evening.

The bank said it was “recently made aware of allegations involving Ms. Ahn and immediately launched an internal review and engaged outside legal counsel to investigate.”

“The investigation found evidence that, in contravention of the RBC Code of Conduct, Ms. Ahn was in an undisclosed close personal relationship with another employee which led to preferential treatment of the employee including promotion and compensation increases.”

Both Ahn and the other employee, who wasn’t identified, were terminated, the bank said in the statement, which noted that the CFO was fired earlier Friday. Royal Bank spokesperson Gillian Mcardle declined further comment. Ahn couldn’t be immediately reached for comment.

“The investigation found no evidence of conduct by the former CFO or the other employee with respect to the bank’s previously issued financial statements, RBC’S strategy or its financial or business performance,” according to the statement.

Ahn joined Royal Bank in 1999 and worked in a series of treasury, risk, investor relations and other financial roles before being named CFO in September 2021. At the time, she was the only female CFO at any of the Big Six Canadian banks , though Marie Chantal Gingras was since named CFO at National Bank of Canada .