New RadiumOne CEO Lonergan justifies predecessor Chahal's sacking in memo

New RadiumOne CEO Bill Lonergan has wasted little time to reach out to company employees after the recent controversy in the company. Lonergan has sent a memo to employees in which he clarifies company’s stance with regards to issue of Gurbaksh Chahal, the ex-CEO. RadiumOne fired its founder and ex-CEO Chahal just few days ago. As per the Re/code report, the memo states that the company board members believed Chahal was affected by the legal proceedings against him and doubted his ability to lead RadiumOne in such circumstances. The new CEO also explained why the company took time to fire Chahal. Lonergan says in the memo, “The board moved as decisively as it could given the complexities involved. A person is innocent until proven guilty. Given recent developments, it became clear that Gurbaksh’s ability to lead the company had been severely compromised by the legal proceedings and ensuing developments. The Board asked Gurbaksh to voluntarily tender his resignation in the best interests of the company. When it was clear that Gurbaksh did not intend to resign as CEO and Chairman, the board called a special meeting to terminate his employment.” The memo also clarified that pleading guilty to charges was Chahal’s own decision and the RadiumOne board did not influence it. On the issue of IPO, the Lonergan states, “In that way we preserve our optionality on the timing of an IPO.” Chahal dodged jail time, despite pleading guilty, due to the judge rejecting a crucial piece of video evidence on the grounds that it was obtained illegally.