San Francisco 49ers CEO Jed York has been removed from his role as acting chairman of the Silicon Valley Leadership Group (SVLG), according to sources. The decision follows York's recent arrest on a prostitution charge in Ohio. SVLG CEO Ahmad Thomas informed staff that board member Tarkan Maner will assume the acting chairman role next month.
York, 45, was arrested on suspicion of soliciting prostitution after allegedly responding to an undercover ad using the fake name "Joe." The charge was later reduced to disorderly conduct, to which York pleaded no contest. He is currently living with his parents in Ohio during a divorce proceeding.
The influential tech-centric trade group has experienced significant financial difficulties during York's tenure as chairman, which began in September 2020, shortly after Thomas became CEO. Tax filings reveal that SVLG lost nearly $3.85 million between 2020 and 2023. The organization reported a $2.17 million loss in 2022 alone, with expenditures exceeding revenue. This financial downturn has eroded the group's net assets, which went from approximately $2.8 million at the start of 2020 to over $1 million in the red by the end of 2023. By the end of 2024, SVLG was reportedly $849,000 in debt.
Despite these financial troubles, the SVLG website continued to list York as its chairman as of Thursday. The organization, whose members include major tech companies like Apple, Google, Microsoft, Amazon, Meta, and Tesla, advocates on a range of policy issues including AI and tech regulation, taxes, housing, transportation, energy, and climate policy.
Sources indicate that York's oversight role was more than symbolic, with SVLG's tax filings stating that the board is responsible for overseeing financial statements and reviewing the CEO's annual salary. In 2022, the same year SVLG incurred its largest annual loss, Thomas received $800,000 in reportable compensation.
Allegations of a lack of transparency have also surfaced. Several sources claim that Thomas has withheld crucial information from SVLG associates, including current board lists, bylaws, budgets, and financial statements. This has led to concerns among board members regarding the organization's financial status and dealings.
SVLG's financial instability may have contributed to the collapse of a potential merger with the Bay Area Council last year. While the organizations publicly stated they decided not to proceed, sources familiar with the matter suggest that questionable financial accuracy submitted by SVLG led to the dissolution of merger talks. Officials for the Bay Area Council declined to comment.
In July, Thomas announced he was stepping away from roles connected to the SVLG's Foundation, which organizes events like the Silicon Valley Turkey Trot, to launch a new nonprofit called the California Innovation Foundation. This move was described by one source as a "seismic event."
York, Thomas, and the SVLG did not immediately respond to requests for comment regarding York's departure, the organization's finances, or allegations of financial disclosure and governance issues.