Sheryl Sandberg Under Probe For Use of Facebook Assets Over Several Years: Report

The outgoing Operating Chief of Facebook, Sheryl Sandberg is being investigated by lawyers over accusations that she has used corporate resources for personal use. These behaviours date back several years, suggested reports.

Sandberg recently announced her departure from the day-to-day functions of Meta, after 14 years of holding the post, to focus on her non-profit organisation and said that she’d still serve on the board of directors.

Sheryl Sandberg Under Probe

The investigation was initiated by Meta Platforms Inc, the parent company of Facebook, and a number of employees have also been interviewed as a part of the review which has been underway since last fall. It is believed that Sandberg used corporate resources for personal gain.

The investigating lawyers will examine Facebook employees’ contribution to Sandberg’s foundation Lean In, which advocates for women in the workplace, and her second book Option B: Facing Adversity, Building Resilience, and Finding Joy which was centred around her grieving process after her husband Dave Goldberg’s sudden demise. Goldberg was CEO of the Survey Monkey platform when he died in 2015.

According to the Wall Street Journal, the review will also include Sandberg’s use of the company resources in planning her upcoming wedding. Although a spokesperson for Sheryl gave a statement refusing the accusation, the report stated, the spokesperson for Meta did not comment.

The report states that the cause of the investigation into her activities couldn’t be ascertained. However, it stated that concerns regarding misuse of corporate resources involving Sandberg had been going around for a while. Moreover, it mentions concerns over potential Securities and Exchange Commission violations if at all she'd used professional resources for personal matters without adequate disclosures.

Additionally, her eroding power within the company in recent years, reportedly, made it less daunting for the critics inside the company to raise concerns about her management.

Other theories, about why the investigation was initiated, state that it follows a renewed effort at Facebook to boost the company's regulatory compliance. In February 2019, the company had come under the scanner for privacy missteps. The firm had also hired its first chief compliance officer in 2021 to beef up the checks and balances, the report added. Moreover, the probe only began after more stringent compliance practices were put in place at Meta.

It's unclear what the outcome may be and the punitive action that will be initiated against Sandberg, however, she may be asked to repay the company for employee time spent on her personal venture.

Sandberg's Use Of Corporate Resources

Reportedly, Sandberg, like Mark Zuckerberg, had used company assets for personal matters as well and it has been inextricably linked to Facebook's success. She has used a private plane for personal travel as a part of her overall security program and received personal security paid by the company at their residence as well as during personal travel.

Allegedly, Facebook has spent millions for Sandberg's security at her residences, and during personal travel and it was also noted that Facebook staff was assisting her during book tours and has thanked them in the acknowledgement section of her second book. It was also reported that she was helped by the staffers in tasks regarding her foundation and also assisted with tasks for the family.

Is Giving Perks Normal?

While there are no two ways about Sandberg and Zuckerberg's use of corporate resources for personal matters, experts weighed in that the company does approve perks like private jets and security often. David Lurker, a professor focusing on corporate governance, was quoted by WSJ saying that although the company does approve perks, the use of corporate employees who are not assistants for personal matters is rare and likely needs board approval.

Suggested Reading: Sheryl Sandberg To Focus On Her Foundation ‘Lean In’ After 14 Years At Facebook