Bill McGlashan, the private equity executive charged this week after a justice department investigation into bribery in US college admissions, is out of his roles at TPG Growth and The Rise Fund, the ethical investment vehicle he founded with Bono last year.
The news came in clashing statements from the two sides. Mr McGlashan told fellow directors he had resigned, but TPG said it had terminated him for cause.
In an email to fellow board members on Thursday that was seen by the Financial Times, Mr McGlashan said that continuing in his positions would be a distraction from the “critically important” work of the fund.
His framing of his exit contrasted with a TPG statement saying he had been fired. “After reviewing the allegations of personal misconduct in the criminal complaint, we believe the behaviour described to be inexcusable and antithetical to the values of our entire organisation,” TPG said.
Further correspondence reviewed by the FT appeared to confirm that Mr McGlashan had already submitted his resignation by the time he received notice that his employment was being “terminated”. TPG declined to comment.
A person close to TPG added: “Bill wanted to resign but we felt termination was more appropriate.”
In his letter, Mr McGlashan wrote: “Though it breaks my heart to write this, I feel it is now the right thing to resign from The Rise Fund and TPG Growth.”
He added: “As you can imagine, my primary concern at this point is for my family. I will also be focused on addressing the allegations that have been presented, and there are aspects of the story that have yet to emerge that I wish I could share. It is essential however that this process happens apart from The Rise Fund and TPG Growth.”
The DoJ’s criminal complaint alleged that Mr McGlashan paid a university admissions consultant more than $250,000 to find a “side door” into the University of Southern California for his son. TPG had already placed Mr McGlashan on “indefinite administrative leave” in the wake of the DoJ’s charges.