The CEO of optics giant Olympus has resigned after accusations he bought illegal drugs, sending its shares plummeting
Thomson Reuters
- The CEO of optics giant Olympus has resigned after it was alleged that he had bought illegal drugs.
- Stefan Kaufmann's departure as CEO pushed the company's shares almost 6% lower Monday.
- Olympus controls more than two-thirds of the global endoscope market.
Olympus Corporation's CEO, Stefan Kaufmann, has exited the optics giant following allegations he purchased illegal drugs.
The company announced Monday that Kaufmann had been asked to resign after an investigation and a unanimous board decision.
Director and executive director Yasuo Takeuchi will take on Kaufmann's responsibilities in the interim while a new CEO is selected. He previously served as boss from 2019.
The firm's shares slid 5.6% on the Tokyo Stock Exchange following the announcement.
"Upon receiving an allegation that Mr. Stefan Kaufmann had purchased illegal drugs, Olympus, in consultation with outside legal counsel, immediately investigated the facts, made a report to the investigative authorities, and cooperated fully with their investigation," the company said in a statement.
It said that based on the results, Kaufmann had likely acted inconsistently with Olympus' global code of conduct, core values, and corporate culture.
As a result, he was asked to offer his resignation and accepted the request, which is effective immediately, the firm added.
Kaufmann worked at Olympus for over 20 years, becoming CEO in April 2023. He has been a board member since 2019.
No further information has been made public about what type of drug Kaufmann is alleged to have purchased. He has not been charged with any crime.
Police searched his home in June, but found no illegal substances, the Kyodo news agency reported.
Founded in Tokyo in 1919, the company is best known to the mass market for its cameras, though it sold that arm of its business in 2021.
Its main business is in manufacturing medical technology, including surgical endoscopes and ultrasound processors.
As of 2022, the company said it has a 70% share of the global market for gastrointestinal endoscopes.
Japan has strict laws against the use of drugs. In 2015, Julie Hamp, a senior media advisor at Toyota Motor Corporation, spent 20 days at a prison in Tokyo before walking free after being arrested on suspicion of importing a pain medication into the country without prior approval.
Business Insider was unable to reach Stefan Kaufmann for comment.