Employees and shareholders of Southern California-based video-game holding company Activision Blizzard (ATVI) have called for the resignation of CEO Bobby Kotick after a Wall Street Journal report Tuesday revealed he was aware of sexual misconduct allegations but did not inform the board of directors.

“In contrast to past company statements, CEO Bobby Kotick was aware of many incidents of sexual harassment, sexual assault, and gender discrimination at Activision Blizzard, but failed either to ensure that the executives and managers responsible were terminated or to recognize and address the systematic nature of the company’s hostile workplace culture,” read a letter from shareholders to the board of directors and provided to the Washington Post.

After the Journal's report, over 100 Activision Blizzard employees staged a walkout. Along with Kotick, long-time directors Robert Morgado and chairman of the board Brian Kelly were also called on to resign.

Kotick disputed the Journal's report and would later share a video message to employees that called for a zero-tolerance policy.

“I have made clear. We are moving forward with a new zero-tolerance policy for inappropriate behavior — and zero means zero. Any reprehensible conduct is simply unacceptable," he said.

Kotick founded the company in 2008 through a merger with Activision, Inc. and Vivendi Games. Among Activision Blizzard's popular games are Call of Duty, Guitar Hero, and World of Warcraft.

In an in-depth profile in 2012, New York Times reporter Amy Chozick wrote that "people who love video games love to hate Bobby Kotick." Many have cited how Kotick is great for Wall Street but bad for gamers.

Kotick and Kelly bought Activision in 1990 as it was close to bankruptcy. The company is now worth about $50 billion.

Chozick reported in 2012 that Kotick "made more than $8 million in 2011 and has an estimated net worth of over $1 billion." Bloomberg's Billionaire Index does not show Kotick in the Top 500, which bottoms out at $6 billion.

Kotick, 58, grew up in New York and once ran a business that rented out Manhattan clubs on off nights.

He was an art history student at the University of Michigan and later started a technology company with his roommate that developed software for the Apple II computer. Kotick has given millions in donations to the school.

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