Directors, executives accused of bringing company into legal trouble
A new lawsuit, filed on behalf of plaintiff R. Andre Klein, is seeking damage compensation for Apple shareholders as a result of alleged misconduct by the company's directors and executives. Lawyers for Klein accuse former CEO Steve Jobs, current CEO Tim Cook and others of "breach of fiduciary duty, gross mismanagement, corporate waste, and breach of the duty of honest services." Specifically, by engaging in anti-poaching practices, Apple leaders are said to have caused the company to break antitrust laws, issue misleading proxy statements, and suppress workers' wages.
Avon conference call described as 'combative'
Avon CEO and Apple board co-leader Andrea Jung is coming under fire from both the Securities and Exchange Commission and investors, the Wall Street Journal reports. During a Thursday conference call Avon revealed that it is facing two SEC probes. A source elaborates that the first is concerned with whether or not Avon leaked sensitive data to Citigroup analysts in conversations about company performance. Also allegedly mentioned during the talks were bribery allegations, the subject of the second SEC probe.
Most shares controlled by organizations
The newest member of Apple's board of directors, Ronald Sugar, led the way in terms of re-election votes at this week's shareholder meeting, a Form 8-K submitted to the SEC reveals. Sugar in fact trumped CEO Steve Jobs, getting 3.5 million more votes to sit in excess of 574 million. Sugar has only been with Apple since November.
Reaction to complaints of Jobs influence?
Apple has quietly made Andrea Jung, the CEO of Avon, a co-lead on its board of directors, says Bloomberg. A regular member of the board since January 2008, Jung's shift to a lead position occurred without fanfare last December. Thursday will mark her first shareholders' meeting with the new title; she is replacing Bill Campbell, a veteran of the board and a mentor to CEO Steve Jobs. Campbell will continue to serve on the board in a lesser capacity.