Best Buy Co. Inc. (NYSE:BBY) said Richard Schulze will step down as Chairman following findings of a personal conduct probe involving former Chief Executive Officer Brian Dunn.
Schulze will be replaced by director Hatim Tyabji, chairman of the audit committee, at the end of the annual meeting on June 21.
The Richfield, Minnesota-based retailer of consumer electronics said an investigation found that Schulze had failed to alert the board's audit committee about allegations of personal misconduct by Dunn, who resigned in April.
The findings showed that Dunn violated the company policy by engaging in an extremely close personal relationship with a female employee and that the chairman of the board of directors acted inappropriately when he found out about the relationship.
The inquiry also found no misuse of company resources or aircraft, Best Buy said. The audit committee was first informed of the allegations in mid-March 2012.
Since 2001, Tyabji has been Chairman and CEO of Bytemobile Inc. Earlier, Tyabji was Chairman and CEO of Saraide Inc., a provider of wireless Internet and data services. He was also an early board member at Ariba Inc. (NASDAQ:ARBA)
Best Buy shares, which has been trading in the 52-week range of $19.02 to $32.85, added 1.66 percent to trade at $19.60 in early trade on Monday.