Nvidia's board of directors said on Tuesday that it hired Wachtell, Lipton, Rosen & Katz to conduct an investigation of CEO Jensen Huang and whether company secrets or national security was compromised, after Huang admitted to having an affair with a woman who has been connected to Chinese intelligence.
"The independent members of the NVIDIA Board have retained former acting U.S. Attorney of the Southern District of New York Joon H. Kim and his firm Wachtell, Lipton, Rosen & Katz to conduct a thorough and independent investigation as was announced on Sunday," the board said in a statement.
Kim joined the firm earlier this month, and he was previously the chief U.S. prosecutor in Manhattan, according to Law360.
Nvidia has been thrust into turmoil since Huang's acknowledgement of the affair over the weekend. The chipmaker's stock dropped 6% on Tuesday after falling more than 4% on Monday, as investors worry that the investigation and scandal could result in the co-founder and CEO being forced out.
Nvidia and the board are facing pressure from critics and politicians over what the company knew about sales of its restricted AI chips to Chinese companies.