MRNA: CFO Splits on Allegations of Fudging @ Prev Job

May 11, 2022 10:31 AM EDT PeoplePharma
Moderna's new CFO out after former employer unveils internal auditing investigation
Paul Schloesser
Associate Editor
Just as quickly as he started, the new CFO at Moderna has been shown the door after a single day on the job.

Jorge Gomez was out in a day after his former employer, Dentsply Sirona, said it was in an ongoing internal investigation by the audit committee, according to an SEC filing. The audit is investigating Dentsply Sirona’s “use of incentives to sell products to distributors in the third and fourth quarters of 2021, and whether those incentives were appropriately accounted for and the impact of those sales was adequately disclosed in the Company’s periodic reports filed with the Securities and Exchange Commission.”

The investigation launched in March and the company has since retained independent outside counsel. A forensic accounting firm has been enlisted to assist with the investigation, the company said in its SEC filing.

Moderna didn’t say much in a statement Wednesday, but did say the announcement “follows the May 10 public disclosure by Mr. Gomez’s former employer” regarding the investigation.

“The Audit Committee is also investigating allegations that certain former and current members of senior management directed the Company’s use of these incentives and other actions to achieve executive compensation targets in 2021,” Dentsply’s filing went on to say.

Gomez had started on Monday after leaving his previous job on May 6.

Moderna added in an SEC filing that Gomez will forfeit his signing bonus, eligibility for relocation reimbursements, bonus eligibility and his eligibility for new hire equity awards. However, he will receive 12 months of severance (to a total of $700,000) as well as 12 months of coverage under COBRA.

David Meline, Gomez’s predecessor, will be continuing in his previous role as CFO while Moderna restarts its hunt for a new chief financial officer, Moderna said. The biotech announced last month that it was bringing in Gomez upon Meline’s retirement, with Gomez having previous experience in dental, auto and healthcare.

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Dentsply Sirona also said that because of the investigation, it has not yet finalized its Q1 financial statements.