Report: France Telecom's board will retain Richard as CEO

Stephane Richard, the CEO of France Telecom-Orange who is being investigated for fraud, will be able to keep working at the telco, according to a report in Bloomberg.

Three of the company's board of directors, including those who represent France's government--which still owns a 27 percent stake in the telco--voted to retain him as CEO.

France Telecom said in a statement today that the charges "don't call into question the CEO's capacity to carry out the management of Orange fully and efficiently."

Last week, Richard had been placed under formal investigation by a judge for his role in what's been dubbed as the "Tapie Affair" when he served as the chief of staff for former finance minister Christine Lagarde.

Keeping Richard as CEO could potentially avoid another upheaval at the telco. In 2010, Richard was appointed CEO following a series of employee suicides related to a reorganization plan that his predecessor Didier Lombard put in place.  

For more:
- Bloomberg has this article

Related articles:
France Telecom-Orange CEO Richard faces formal investigation, fraud charge
France Telecom's Richard placed under investigation in corruption probe
France Telecom-Orange CEO Richard arrested in 'Tapie Affair' investigation

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