The Board of Directors of Best Buy Co. Inc., Minneapolis, Minn., elected director Hatim Tyabji to succeed Richard Schulze as chairman of the company, effective at the conclusion of the June 21 annual meeting. Tyabji, currently chairman of the Audit Committee, has served as a director since 1998.

When  Schulze steps down as chairman, he will become founder and chairman emeritus, an honorary position. Schulze will serve out the remainder of his term as director through June 2013.

“Hatim’s history of leadership combines technology, retail, financial and mobile experience at the most senior levels,” says Matthew Paull, lead independent director . “He has founded companies, chaired and served on boards and successfully led enterprises through long-term growth and change. The board is grateful for his many years of service and is pleased to expand his role to chairman.”

The board also publicly released the results of an independent investigation into personal conduct allegations involving former CEO Brian Dunn, who resigned in April. When these allegations, which were unrelated to the company’s operations or financial controls, were brought to the board’s attention, the Audit Committee immediately initiated an investigation. Prior to the completion of the investigation, Dunn resigned.

Key findings of the investigation, conducted by outside law firm WilmerHale, include:

· Dunn  violated company policy by engaging in an extremely close personal relationship with a female employee that negatively impacted the work environment.

· The CEO’s relationship with the female employee demonstrated extremely poor judgment and a lack of professionalism, but the inquiry revealed no misuse of company resources. The inquiry also revealed no misuse of aircraft.

· In addition, as part of the investigation, it was determined the chairman of the Board of Directors acted inappropriately when he failed to bring the matter to the Audit Committee of the Board of Directors in December 2011, when the allegations were first raised with him.

“In December, when the conduct of our then-CEO was brought to my attention, I confronted him with the allegations (which he denied), told him his conduct was totally unacceptable and contrary to Best Buy’s policies and everything I, and the company, stand for. I understand and accept the findings of the Audit Committee,” says Schulze.