Institutional Insecurities

Morgan Stanley's Mack quits as president; CFO Scott steps in.
Lisa YoonJanuary 25, 2001
  • Network the World… for a new job? Morgan Stanley Dean Witter & Co. CFO Robert G. Scott is stepping into the role of president of the New York-based securities firm upon current president and COO John Mack‘s resignation. The company did not indicate the reason for Mack’s departure, effective March 21. However, according to Wall Street insiders, doubts that CEO Philip Purcell would make good on a private agreement to give control of the company to Mack over the next two years led to escalating tensions, culminating in Mack’s exit. The departure raises questions about whether other key people will also leave.

Morgan Stanley’s chief strategic and administrative officer Stephen S. Crawford will succeed Scott as CFO.

Mack earned $21 million in FY1999 salary and exercised $1.8 million in options.

  • Polaroid Corp. CFO Judith Boynton is out of the picture. She resigned from the instant-film and camera maker for personal reasons, according to a statement. Despite the timing of the departure, one day before the company is expected to report a fourth-quarter loss, the Cambridge, Mass.-based firm said Boynton had indicated her intention to leave several months earlier. VP and treasurer Carl Lueders will take over as acting CFO as the company searches for Boynton’s replacement. Boynton earned $816,000 in FY1999.
  • Aptly-named Edward Moneypenny was named CFO of energy services provider Ogden Corp. Moneypenny joins the New York-based company from Florida Progress Corp., where he was SVP of finance and CFO.
  • Johnny Come Lately: John Cox, chief accounting officer and controller of BMC Software Inc., was named acting CFO of the company upon the resignation of CFO William Austin. Austin resigned less than three weeks after Robert Beauchamp was named as the Houston firm’s new president and CEO, replacing Max Watson. Austin was seen by many as Watson’s right-hand man.
  • Howlin’ Wolf: Networking infrastructure company Redback Networks Inc. named Dennis Wolf as CFO and SVP of finance & administration. Wolf replaces Craig Gentner, who announced his intention to retire last fall because of family medical reasons. Wolf joins Redback Networks from Credence Systems Corp., where he was CFO and executive VP.
  • Dubya is for Weinberger: President Bush is expected to name Ernst & Young LLP tax head Mark Weinberger as the Treasury Department‘s top tax official. The appointment of Weinberger, a prominent tax lobbyist, is a significant move in the Bush administration’s push for a big tax-cut package. The administration is still looking to fill the post of undersecretary of the Treasury for international affairs.