In many companies there are a few people who have problems with their corporate context. They say things that relate to matters and issues that are not within their purview, to put it nicely. They make statements and write documents in which statements are made that are not correct; not within their knowledge or authority to discuss; and that when overheard by others have the capacity to create serious misunderstandings about important company business.
In one instance of which I have personal knowledge, the gentleman was somewhat delusional about his scope and reach within the company. He professed to have knowledge about matters that were later under grand jury investigation; he created paperwork about the subject of the investigation and the paperwork was subpoenaed; he was subpoenaed to testify before the grand jury; he testified in ways not conforming to the facts; he made trouble for the company with government enforcement agencies; and was, when the truth came out, indicted for perjury. It was an expensive and embarrassing situation for the company, which provided him with a lawyer who simply could not control his “client”.
Are you aware of someone in your company who claims or acts like he has position and authority that he doesn’t have? Does this person make statements in social situations that are untrue and that are intended to obtain for himself a level of respect and attention he would not receive if he were straightforward? If so, do you realize how dangerous that is? Why have you not dealt with this person decisively? Is he the son/son in law of some authority figure in the company? Is everyone afraid to go discuss the problem with his mentor/sponsor?
What options are there to deal with this situation? There are several and they are better than the status quo. Don’t wait to be sued or worse. If you are publicly traded, don’t wait until the SEC or the stock exchange stops trading in your securities. It’s not funny.