diff --git a/app/models/manageiq/providers/cloud_manager.rb b/app/models/manageiq/providers/cloud_manager.rb
index fc18a784853..f17d8f10d73 100644
--- a/app/models/manageiq/providers/cloud_manager.rb
+++ b/app/models/manageiq/providers/cloud_manager.rb
@@ -42,6 +42,8 @@ class << model_name
     include HasNetworkManagerMixin
     include HasManyOrchestrationStackMixin
 
+    after_destroy :destroy_mapped_tenants
+
     # Development helper method for Rails console for opening a browser to the EMS.
     #
     # This method is NOT meant to be called from production code.
@@ -142,5 +144,13 @@ def create_cloud_tenant(options)
     def self.display_name(number = 1)
       n_('Cloud Manager', 'Cloud Managers', number)
     end
+
+    def destroy_mapped_tenants
+      if source_tenant
+        source_tenant.all_subtenants.destroy_all
+        source_tenant.all_subprojects.destroy_all
+        source_tenant.destroy
+      end
+    end
   end
 end
diff --git a/spec/models/manageiq/providers/cloud_manager_spec.rb b/spec/models/manageiq/providers/cloud_manager_spec.rb
index 3c2febb73ae..472996c5dd0 100644
--- a/spec/models/manageiq/providers/cloud_manager_spec.rb
+++ b/spec/models/manageiq/providers/cloud_manager_spec.rb
@@ -192,6 +192,17 @@ def expect_created_tenant_tree
           expect_created_tenant_tree
         end
 
+        it "cleans up created tenant tree when the ems is destroyed" do
+          ems_cloud.sync_cloud_tenants_with_tenants
+          expect_created_tenant_tree
+          # 4 cloud tenants, plus the provider tenant and root tenant
+          expect(Tenant.count).to eq(6)
+          ems_cloud.destroy
+          # only the root tenant should remain after destroying the ems
+          expect(Tenant.count).to eq(1)
+          expect(Tenant.first.name).to eq("My Company")
+        end
+
         let(:vm_5) { FactoryGirl.create(:vm_openstack) }
 
         let(:ct_5) do