Greetings,
As directors you are entrusted with the responsibility to act in the best interests of the Company and its shareholders, and specifically, to "assure compliance with applicable laws and regulations and to assure maintenance of necessary accounting, financial, and other controls." Evidently, based on the recent report in the New York Times, Walmart’s board has failed to meet this fundamental responsibility.
When we consider how a failure of this magnitude occurred, we cannot help but conclude that the board did not exercise necessary leadership and independence. Due to the significant ownership of Walmart shares by the Walton family, and the representation of the Walton family on the board itself, the independence of the board has been compromised.
Therefore, I am calling for:
1) Walmart Chairman S. Robson Walton, and CEO Mike Duke to resign because of their demonstrated failure to adequately respond to the alleged illegal activities in a timely and effective manner, and, given their roles during the alleged cover up I believe it is not possible for them to credibly lead the company during the necessary internal investigation that must take place; and,
2) A thorough and independent investigation to take place. I call on the directors of the board to appoint an outside, highly respected expert who will have the authority to pursue a truly independent investigation.
When we consider how a failure of this magnitude occurred, we cannot help but conclude that the board did not exercise necessary leadership and independence. Due to the significant ownership of Walmart shares by the Walton family, and the representation of the Walton family on the board itself, the independence of the board has been compromised.
Therefore, I am calling for:
1) Walmart Chairman S. Robson Walton, and CEO Mike Duke to resign because of their demonstrated failure to adequately respond to the alleged illegal activities in a timely and effective manner, and, given their roles during the alleged cover up I believe it is not possible for them to credibly lead the company during the necessary internal investigation that must take place; and,
2) A thorough and independent investigation to take place. I call on the directors of the board to appoint an outside, highly respected expert who will have the authority to pursue a truly independent investigation.
Stuart Wade
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