TPG Rise founder leaves firm in wake of U.S. college admissions scandal By Reuters

© Reuters. A plaque is pictured at University of Southern California in Los Angeles

By Joshua Franklin

NEW YORK (Reuters) – TPG Capital said on Thursday it had fired senior executive Bill McGlashan after he was charged in connection with a U.S. college fraud scheme that has ensnared Hollywood celebrities and corporate elite.

“We believe the behavior described to be inexcusable and antithetical to the values of our entire organization,” TPG said in a statement.

In a separate statement via a spokesman, McGlashan said he was resigning from the TPG Rise Fund and TPG Growth. McGlashan was managing co-founder and chief executive of TPG’s impact investing Rise Fund.

“I will be focused on addressing the allegations that have been presented, and there are aspects of the story that have yet to emerge that I wish I could share,” he said.

McGlashan, who was placed on indefinite administrative leave on Wednesday, was among those named in an investigation by U.S. authorities into a scheme that helped wealthy Americans cheat their children’s way into elite universities.

TPG Capital has offered investors in its Rise Fund II the chance to withdraw, a person familiar with the matter said on Thursday.

TPG raised $2 billion for the first Rise fund in 2017, which was backed by pop star Bono and aims to generate profits while benefiting society and the environment.

TPG is aiming to raise up to $3.5 billion for its second Rise Fund, according to documents from the State Investment Council of New Jersey, which has committed up to $125 million in the fund.

The Rise Fund is a small part of the $103 billion in assets that TPG has under management, but a high-profile area of investment among a growing trend for more impact investing.

Impact investing aims to generate some benefit to society while also delivering financial returns.

TPG made the offer to investors who participated in the first close of the fund. A spokesman for TPG’s Rise Fund declined to comment. The news was reported earlier by Bloomberg.

TPG has said Jim Coulter will take over managing partner responsibilities for TPG Growth and Rise.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Leave a Reply

Your email address will not be published. Required fields are marked *