March 8, 2014
RICHMOND, Va. (AP) -- A troubled dietary supplement maker in Virginia will start next year off with a new leader after its chief executive announced his resignation.
Star Scientific Inc. said Thursday that CEO and founder Jonnie R. Williams Sr. and president Paul Perito will resign late next month. Each will stay on with the company in some capacity for another year.
The company is involved in a securities probe, shareholder lawsuits and was at the heart of a scandal involving Virginia Gov. Bob McDonnell. State and federal authorities are investigating Williams' relationship with McDonnell and Attorney General Ken Cuccinelli. Both received thousands of dollars in gifts from Star Scientific and Williams.
The company has said it doesn't expect to be prosecuted for any of the matters being investigated.