This is a very delicate and difficult situation. From your post, I get the impression the person admitted to the problem and then has gone around bragging to others about the situation. If this is how things are going - then yes, I do believe the VP should be fired.
The company I work for has a zero tolerance policy for this behavior. the VP would have been fired if the investigation revealed that the allegation proved to be true. He'd never have had the opportunity to walk around telling others about it.
On the flip side of things... admitting to behavior doesn't mean the person admits to abuse. As crazy as that sounds - what someone might consider ok, another may consider inappropriate. Not knowing the situation, the VP may be talking with people about it because he doesn't see it as an issue. If this is the case, I believe he should have to take a harassment course and make sure he understands the concepts of appropriate talk/behavior.
Someone else noted that if you're comfortable talk to the victim(s), and encourage them to report. As uncomfortable as it may be for you to get involved, you have a right to do so. If anything, go to HR yourself with concerns. It would be far better to be revealed that what you've seen/heard is incorrect - than for people not to say anything leaving an abusive person to continue.
You're not in an easy position either way. I commend you for considering things by making this post.
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