Billionaire philanthropist, Warren Buffet, has resigned as Trustee of the Bill and Melinda Gates Foundation on Wednesday.
His departure raises questions about the foundation’s leadership structure, amid the divorce of its founders Bill and Melinda Gates after 27 years of marriage.
The foundation’s board comprises three members: Buffet, Bill, and Melinda. Despite the divorce, Bill and Melinda would continue to helm the foundation side-by-side.
In a statement, Buffet said, “For years I have been a trustee – an inactive trustee at that – of only one recipient of my funds, the Bill and Melinda Gates Foundation (BMG). I am now resigning from that post, just as I have done at all corporate boards other than Berkshire’s.
“The CEO of BMG is Mark Suzman, an outstanding recent selection who has my full support. My goals are 100% in sync with those of the foundation, and my physical participation is in no way needed to achieve these goals.”
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Buffet, 90, also revealed that plans were still on track to distribute all of his shares in his conglomerate firm Berkshire Hathaway where he serves as the chief executive officer (CEO).
He added that he would also be giving away an extra $4.1 billion in shares to five different foundations, with the bulk of it going to the Bill and Melinda Gates Foundation.
To date, Buffet’s contribution to the charity efforts of the foundation amounts to $33 billion, as revealed by Suzman in a statement.
On the question that Buffet’s departure raises, Suzman said, “I know Warren’s departure raises questions about the foundation’s governance.”
He added that Buffet was “actively discussing with him, Bill, and Melinda approaches to strengthen our governance to provide long-term stability and sustainability for the foundation’s governance and decision-making in light of the recent announcement of Bill and Melinda’s divorce. I plan to share additional information in July.”
His departure from the board is one among other boards he has resigned from, however, he disclosed that he had no plans of stepping down as Berkshire Hathaway’s ceo.
