The board of media company CBS is set to meet Monday, to discuss an internal probe. Into allegations of sexual harassment against long time CEO, Les Moonves, according to two people familiar with the matter. The allegations revealed in a New Yorker article over the weekend. Threatened to intensify a real-life boardroom brawl like the one on CBS's nighttime dramas.
A source says, some directors are expected to consider asking Moonves to step aside during the probe, which could work against his standoff with the Redstone family. Reuters correspondent, Liana Baker.>> There's a legal battle going on between CBS and their controlling shareholder National Amusements, which Sherry Redstone controls.
For having too much control of the company, CBS wants to be a non-controlled company. And it's suing in Delaware, and that is expected to go to trial on October. So Leslie Moonves doesn't wanna have his company, CBS, merge with Viacom. So if heat becomes out of the picture in any way, maybe due to a scandal, or some of these allegations.
Merger could potentially happen, and it could end the legal fight between CBS and Viacom.>> Six women in the New Yorker report came forward to accuse Moonves of sexual harassment, in incidents spanning two decades. Reuters could not independently verify the accusations. Moonves did send out a statement, saying he regretted making some women uncomfortable, but never used his position to hurt anyone's career.
Uncertainty surrounding his future is already hurting shares of CBS, bringing a two-day drop to 10%. Investors are looking to hear more when the company reports results later this week.