Tuesday, May 26, 2015

FCA Takes Former Australia Exec. to Court for Misappropriation of $30M

Chrysler 300 (Aus)

The Chrysler 300, thought by many to be a modern day "gangster" car, has tons of power. But, as they say, absolute power corrupts absolutely, and for former FCA Australia CEO Clyde Campbell, it still may not be enough to escape accusations of misappropriation of funds.

Tomorrow, FCA will take Campbell to federal court in Australia claiming he funneled money to other companies owned by himself, his wife, co-workers, and his successor – Victoria Johns.

FCA has accused Campbell of misappropriating and misusing more than $30 million "in company money to fund an extravagant lifestyle for his family and business associates," reports the Sydney Morning Herald. The claim also states Campbell provided free vehicles to celebrities Shane Wayne and Elizabeth Hurley in the UK, a region in which FCA Australia does not have business.

Campbell is said to have used corporate funds to purchase a $400,000 yacht, a plane, trips, and private club memberships through a convoluted process involving multiple companies.

The accused, prior to working for FCA, was employed by Motortrak. After Campbell moved to his position at FCA, Motortrak was contracted to provide web services to dealers at inflated prices, costing FCA $9.16 million per year between December 2010 and May 2015.

Campbell is also said to have funneled money to a company called My Alfa Romeo that was contracted to provide a "mobile floating billboard" at the cost of $500,000. Simone, Clyde's wife, was a director and shareholder of My Alfa Romeo. The billboard was never delivered or provided.

Another company, Vukosav Photography, was paid $191,192 for services never contracted. Company owner Andrew Vukosav is said to be a friend of Campbell. The two allegedly went on a three-day golf trip together in New Zealand. Neither FCA or Maxus, FCA Australia's marketing agency, contracted photography services from Vukosav Photography.

A conflict of interest is also mentioned in a $6.6 million contract with a company called Digital Dialogue. Sam Tabart, then FCA's marketing director, is said to have a stake in parent company Digital Dialogue Media Holdings.

Finally, it is alleged Campbell's successor, Victoria Johns, used company funds to pay for renovations at her private home. Johns was the first female CEO in the automotive industry in Australia and left FCA without warning in October 2014 for "personal reasons." There have been no claims made against Johns.

FCA is looking to reclaim funds misspent under Campbell's tenure as managing director from 2010 to 2013 and to freeze the assets of Campbell and his wife Simone, including their family home, "bank accounts, shareholdings and other properties and assets in Europe and New Zealand."

"During a routine audit, we discovered what at best appears to be incomplete documentation pertaining to certain transactions and vendor relationships initiated or approved by Mr Campbell during his tenure as CEO of FCA Australia," explained a representative for FCA in a statement.

The case begins in federal court tomorrow.

[Sources: mUmBRELLA, Sydney Morning Herald 1, 2, GoAuto]

The post FCA Takes Former Australia Exec. to Court for Misappropriation of $30M appeared first on The Truth About Cars.



from The Truth About Cars http://ift.tt/Jh8LjA

IFTTT

Put the internet to work for you.

Delete or edit this Recipe

No comments:

Post a Comment

Archive