The Pac-12 announced the firing of two senior executives on Friday following an investigative audit of financials dating back to 2016.
The investigation determined that the two executives failed to disclose material information to Conference’s board of directors, as well as external conference auditors, related to overpayments by distribution partners.
In October, a distribution partner that was the subject of a 2017 audit determined that it had been overpaying for conferences every year since ’16. The overpayments totaled more than $50 million.
Conference hired Cooley LLP to conduct an independent investigation into the matter after being warned of the error by a distribution partner. The company concluded that the two executives had known about the overpayments since late 2017 and that the executives had failed to disclose information related to significant financial risks to the meeting.
Additionally, the investigation concluded that executives failed to meet their “continuing duties and obligations” to disclose information to the board and external auditors.
“The Pac-12 took immediate and appropriate action to address this issue, consistent with best governance practices,” read Friday’s statement. “Pac-12 leadership is committed to supporting our members and student-athletes and operates with the highest level of professionalism at all times.”