Allegations against Klaus Schwab, the founder and long-standing leader of the World Economic Forum (WEF), have intensified as preliminary findings from an independent investigation suggest that he may have improperly influenced key global economic rankings and submitted questionable expenses. These revelations have placed Schwab and the WEF under intense scrutiny, potentially casting a shadow over his decades-long leadership of the prestigious Davos-based institution.

Probe Uncovers Possible Interference in Country Rankings

The Swiss newspaper SonntagsZeitung recently reported on early conclusions from a Zurich-based law firm, Homburger, which is currently conducting a comprehensive investigation into Schwab’s tenure. According to excerpts from the report, investigators believe Schwab actively intervened in the WEF’s Global Competitiveness Report—an influential annual publication that ranks countries based on economic performance and institutional frameworks.

Notably, Schwab allegedly altered or delayed the release of ranking data to accommodate political sensitivities. In one key incident, Schwab reportedly instructed the WEF’s former managing director, Richard Samans, to postpone the 2017 Competitiveness Report. The intent, investigators claim, was to avoid a diplomatic fallout with Indian Prime Minister Narendra Modi, after India received a relatively low ranking.

Furthermore, the same email exchange reportedly includes a warning from Schwab against raising the United Kingdom’s score. He allegedly expressed concern that an improved ranking could be used to validate the arguments of pro-Brexit campaigners, thereby stirring political controversy.

Despite these apparent attempts at manipulation, the 2017 report was eventually released. However, it showed both India and the UK dropping one position each, landing at 40th and 8th place respectively. These findings now raise serious questions about the integrity of the WEF’s data and its vulnerability to internal political calculations.

2022 Report Canceled Amid Further Allegations

The investigation further reveals a troubling pattern in 2022. That year, Schwab allegedly shared a preliminary version of the Competitiveness Report with a government official whose nation had experienced a drop in its ranking. He then reportedly suggested the results should not be released.

Ultimately, the WEF canceled the 2022 edition of the report altogether. At the time, the organization cited “ongoing uncertainty surrounding the Covid-19 pandemic” as the reason for its withdrawal. Yet, this new information implies that political considerations may have played a significant role in shelving the rankings.

If confirmed, such actions would severely undermine the credibility of the WEF’s research, which has long served as a benchmark for investors, policymakers, and institutions worldwide. Transparency and impartiality have traditionally been cornerstones of the WEF’s reputation—values now called into question.

CHF 900,000 in Expenses Under Review

In addition to the ranking manipulation claims, the investigation has also uncovered possible financial improprieties involving Schwab and his wife, Hilde Schwab. According to SonntagsZeitung, the couple submitted roughly 900,000 Swiss francs (about $1.12 million) in expenses that are now under examination.

Investigators reportedly found that many of the expense claims lacked documentation or a clear connection to official WEF activities. These questionable financial submissions have prompted concerns about the organization’s internal financial oversight during Schwab’s leadership.

The Homburger report is expected to delve further into whether Schwab violated fiduciary responsibilities and governance protocols. If proven, such violations could tarnish his long-standing image as a champion of global cooperation and corporate responsibility.

Silence from WEF and Schwab’s Legal Pushback

Both Klaus Schwab and the WEF have remained tight-lipped amid the growing controversy. When contacted by Bloomberg for comment, the WEF declined to respond, stating it will issue an official statement once the Homburger investigation concludes, likely by the end of August.

Meanwhile, Schwab has continued to deny any wrongdoing. Following his abrupt resignation from the WEF in April 2025, he filed a criminal complaint in Switzerland over the allegations that led to his departure. His legal team maintains that the accusations are unfounded and politically motivated.

Nevertheless, Schwab’s silence on the specific details of the ranking and expense allegations has done little to quell public speculation. Critics argue that the WEF’s refusal to clarify or address the findings sooner only deepens the crisis of trust surrounding the institution.

The Fall of a Global Leadership Icon

Schwab’s resignation earlier this year marked the end of an era for the WEF. He founded the organization in 1971 and led it for over five decades, transforming it into one of the world’s most prestigious platforms for business and political dialogue.

Under his leadership, the WEF became synonymous with its annual meeting in Davos, Switzerland—a high-profile gathering of world leaders, CEOs, and thought leaders. Schwab also positioned the WEF at the forefront of key global debates, from climate change and artificial intelligence to sustainable development and social equity.

However, the current allegations risk overshadowing his legacy. What once symbolized elite diplomacy and cross-border collaboration now faces reputational challenges fueled by internal manipulation and potential financial misconduct.

Broader Implications for the WEF’s Credibility

If confirmed, the claims of political interference in economic rankings and unjustified expenses raise significant concerns for the WEF’s institutional integrity. The Global Competitiveness Report has long influenced national policy agendas, investor confidence, and international reputations. Any compromise of its impartiality could diminish its authority and undermine the WEF’s mission to shape “global, regional, and industry agendas.”

Moreover, the case reignites longstanding debates about transparency and governance within international organizations. As entities like the WEF operate beyond the oversight of elected governments, they rely heavily on public trust. Accusations of manipulation and financial mismanagement threaten that trust and may prompt calls for greater accountability and reform.

Looking Ahead

As the Homburger investigation continues, stakeholders around the world will be watching closely. The final report, due in late August, may determine not only Schwab’s personal fate but also the WEF’s credibility moving forward.

In the meantime, the leadership vacuum left by Schwab’s departure presents both a challenge and an opportunity. The WEF must act swiftly to restore confidence by demonstrating transparency, reforming governance structures, and ensuring that its flagship reports maintain rigorous objectivity.

Until then, the legacy of Klaus Schwab—once hailed as a visionary economist and global connector—remains under a cloud of doubt, shaped as much by controversy as by achievement.