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Walmart Management In Trouble, As Mexico Probe Widens

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By Douglas A. McIntyre Published
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The pressure on Walmart (NYSE: WMT) due to a report that bribery was wide-spread in its Mexico unit may cost the most senior executives at the parent company their jobs. The New York Times ran a 7,600 word article which detailed the activity.

Mentioned in the piece were Walmart vice-chairman Eduardo Castro-Wright, who ran Walmart’s Mexico operation and apparently approved the bribes. Walmart’s former CEO and current board member H. Lee Scott Jr was aware of the details of the problem, the Times reports. Current CEO Michael T. Duke, who ran Walmart International, apparently was as well.

Walmart could face large fines in Mexico and the US. Its operations in a number of other large markets are likely to be scrutinized. The revelation leaves the Walton family, which controls the world’s largest retailer, and the corporation’s board with the potential challenge of replacing its CEO and at least one other board member–Lee Scott.

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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