Afrigather In October 2022, an impartial panel launched the report of a six-week investigation into the conduct of Eke Urum, the founding father of Risevest, following allegations of office bullying and sexual harassment. Whereas the committee advisable that Eke step apart as CEO of the corporate, three individuals near the scenario instructed TechCabal that he continues to perform successfully as CEO. All individuals who spoke to TechCabal requested to be nameless for worry of reprisals. Risevest has denied the stories and clarified that Eke is barely concerned within the firm’s funding arm.
Eke was first requested to step apart by the corporate’s board of administrators late in August 2022, having been knowledgeable of the allegations earlier that month. A number of stories on the time urged that the accusations towards Eke have been by one particular person. Nonetheless, a number of sources instructed this publication that a minimum of two individuals made the claims towards him. Whereas the panel’s investigation didn’t show the claims of sexual abuse, it identified that there was “sexual impropriety”. A part of the panel’s findings stated, “The proof offered to the panel couldn’t show sexual assault by Eke Urum. Nonetheless, the proof offered to the panel, together with admitted sexual relations with an worker and undesirable, inappropriate jokes and conversations, revealed sexual impropriety. It additionally confirmed a sample of abuse of energy, intimidation, retaliation, and office bullying by him.”
Risevest strikes on after panel report
On the energy of that report, the panel advisable that Eke shouldn’t be reinstated as CEO. It additionally advisable that Tony Odiba be named appearing CEO till the board appoints a brand new CEO; 4 months after the report, a brand new CEO has not been chosen. As an alternative, three sources instructed TechCabal that Eke stays in control of decision-making on the firm.
In response to this declare, Tony Odiba, the appearing CEO of Risevest, instructed TechCabal: “I’m nonetheless the appearing CEO, and I run the general operations of Rise. Eke is barely concerned within the firm’s funding arm as he’s considered one of our lead funding managers and nonetheless leads the general product technique because the panel advisable. All different facets of the enterprise are nonetheless underneath my purview.” In a telephone name, Eke instructed TechCabal, “I’m not, and I’ve not been main the corporate and never as CEO. I’m not concerned within the day-to-day. What I do at Rise, based mostly on the panel suggestion, is assist direct the product and oversee the funding choice course of.”
One other supply stated there was a company-wide assembly after the panel report was launched the place Eke refuted all of the allegations towards him. Two individuals with information of that assembly confirmed that Eke instructed the crew to “drown out the noise and concentrate on constructing.” Eke Urum and Odiba confirmed that the assembly occurred however didn’t present additional particulars. All our sources stated that workers at Risevest had accepted the scenario and moved on.
Nonetheless, two sources near the scenario famous that Eke just isn’t ruling out authorized motion towards what he feels are among the false accusations. It’s unclear what the substance of the authorized motion is or whether or not it’ll occur, however Eke will share what he calls his aspect of the story sooner or later. In the course of all of those, there have been additionally layoffs on the firm.
Layoffs at Rise citing macroeconomic circumstances
A number of sources who spoke to TechCabal confirmed that layoffs throughout the firm began in December and resulted in January 2023. All sources say that the corporate cited the broader macroeconomic circumstances as a purpose for the layoffs. Two sources couldn’t verify a precise quantity however estimated that about 10 individuals have been fired.
Tony Odiba, the appearing CEO of RiseVest, confirmed the layoffs to TechCabal through e mail. A part of his e mail stated, “…given the macroeconomic circumstances, the corporate has to make sure it stays absolutely operational whereas it nonetheless meets its obligations to workers. Nonetheless, issues can’t at all times go as we want, so we made some exhausting choices. We laid layoff some individuals, and [those conversations started] as early as June final 12 months.”
Past the layoffs, Risevest should navigate uneven waters quickly as its founder tries to push again towards weighty allegations that may put the highlight on his startup once more. As with all the things, solely time will inform how this may play out.
