Forbes Fires Chief Content Officer Over Secret $6 Million Payment

Forbes terminated its chief content officer, Randall Lane, after the company uncovered a secret payment of about $6 million that Lane received from R.J. Shook, the founder of Shook Research. The payment was identified earlier this year, and Forbes acted on the finding by dismissing Lane in July.

The Wrap

Shook Research has partnered with Forbes since 2016 to produce the magazine’s rankings of wealth advisers, including “America’s Top Wealth Advisors” and “Best-in-State Wealth Advisors.” The collaboration involves qualitative and quantitative criteria such as assets under management and revenue trends, and Forbes’ methodology states that neither the publisher nor Shook accepts fees from advisors for placement. After Shook sold a majority stake in his firm to private-equity firm PPC Enterprises last August, the undisclosed $6 million gift was made to Lane. Forbes’ employee handbook requires staff to obtain permission before engaging in outside business activities and prohibits personal gain—direct or indirect—from the company’s business dealings.

The WrapForbes fired top editor after discovering secret payment New York Times

In a statement to The New York Times, Lane acknowledged the breach, saying he had failed to disclose the gift and expressed regret for the error in judgment. He emphasized that the incident did not alter his affection for Forbes or its staff.

The Wrap

• Payment amount: approximately $6 million.

Forbes fired top editor after discovering secret payment

• Recipient: Randall Lane, chief content officer (formerly editor of Forbes magazine, appointed CCO in 2017).

The Wrap

• Payor: R.J. Shook, founder of Shook Research, a firm that has supplied Forbes with advisory-ranking data since 2016.

Forbes fired top editor after discovering secret payment

• Timing: payment made after Shook’s August sale of a majority stake in Shook Research; Forbes learned of the payment earlier this year and fired Lane in July.

Forbes fired top editor after discovering secret payment

• “I made a mistake, and I take responsibility for it,” — Mr. Lane

New York Times

• “I should have disclosed the gift, and failing to was a serious error in judgment. I deeply regret that, and I lost the job and team I love because of it. None of this changes how I feel about Forbes and the amazing people there,” — Mr. Lane

New York Times