ADM is under scrutiny as a criminal investigation into its accounting practices intensifies, with a shareholder calling for the CEO's resignation. The company's stock has suffered, falling nearly 30% in a year, as investor confidence wanes.

Hartwig Fuchs

A major shareholder of Archer-Daniels-Midland (ADM) has publicly demanded the resignation of CEO Juan Luciano, citing a lack of transparency and accountability in addressing accounting issues that have triggered a criminal investigation. Hartwig Fuchs, a former executive of a firm once partially owned by ADM, criticized Luciano’s leadership in a LinkedIn post titled "Investor-misery has a name: ADM."

“A German proverb says: The fish always stinks from the head,” wrote Fuchs, referring to the CEO’s failure to resolve the crisis. He argued that ADM’s handling of the situation has eroded investor trust, urging decisive action to restore confidence.

Federal prosecutors are investigating whether ADM or its employees committed securities fraud or conspiracy. While government inquiries do not always lead to charges, the uncertainty has taken a toll on ADM’s stock, which is down nearly 30% from last year.

CEO Juan Luciano

The problems surfaced in early 2024 when ADM disclosed irregularities in inter-company sales, forcing financial restatements in March and November. Despite these efforts, the company’s 2024 profit outlook was cut last month due to “internal operational challenges” and sluggish demand.

ADM declined to comment on Fuchs’ post or the ongoing investigation.