Compliance » CEO Resigns Amid Federal Investigation

CEO Resigns Amid Federal Investigation


September 9, 2015

The U.S. attorney for New Jersey is investigating whether United Airlines agreed to reinstate money-losing flights to the airport nearest David Samson, chairman of the Port Authority of New York and New Jersey, to curry favor with the agency. Amid that investigation, United CEO Jeff Smisek has stepped down, along with two senior officials. The investigation is an offshoot of the ongoing scrutiny of Samson’s involvement in shutting down lanes on the George Washington Bridge. The lanes were allegedly closed to help New Jersey Gov. Chris Christie punish a mayor who did not support Christie’s re-election. Port Authority officials called the Newark to Columbia, S.C., flight that Samson frequently took “the chairman’s flight.” United appears to have kept that low-demand flight running, in return for improvements at Newark Liberty International airport.

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