The controversy stems from allegations of sexual misconduct against Olubi, which Paystack had initially stated would be investigated by an independent external party. However, Olubi revealed in a blog post over the weekend that his termination occurred before the investigation concluded, without any opportunity for him to respond.
“On Saturday, 22 November 2025, I was informed that my employment had been terminated. This decision was taken before the supposed investigation was concluded, and without any meeting, hearing, or opportunity for me to respond to the issues raised, in clear contravention of the terms of the suspension and Paystack’s own internal policies,” Olubi wrote.
Paystack, which achieved unicorn status in 2020 following its acquisition by Stripe, appears to have acted swiftly to protect its brand reputation. Experts suggest that such a move signals the company’s intent to demonstrate strict adherence to ethical standards, both within and outside the organisation.
Legal analysts note that the dynamics of Olubi’s termination could be influenced by the acquisition terms. Osita James Uche, Managing Partner at Blackcrest Law, told Techpoint Africa that founder contracts post-acquisition often include clauses regarding operational roles and tenure.
“Usually, when there is a merger or acquisition, there might be clauses that state that the founders will stay back for a number of years to support operations,” Uche explained. “If the stay-back was voluntary, removing a founder for alleged misconduct is relatively straightforward. But if it was mandatory under contract, it becomes more complicated.”
Uche added that Olubi’s influence as a shareholder or board member could impact how the company navigates internal governance and the ultimate outcome of any investigation.
In response, Olubi has indicated he plans to challenge his dismissal through legal channels. “As co-founder, technical leader and long-serving Board member, I have been part of instituting the systems and processes that underpin Paystack’s internal operations. I engaged with this investigation in good faith and cooperated fully with the Board’s directives on that basis. My legal team is now reviewing the process that led to my purported termination, including its consistency with internal policies,” he said.
This development raises questions about due process in corporate governance, particularly in high-profile tech companies navigating allegations against senior executives. For now, Olubi remains steadfast in contesting what he describes as an unjust termination, while Paystack faces scrutiny over its handling of internal investigations and executive accountability.