Karma has a funny way of working itself out it seems. It certainly could be the case for Vishal Garg the CEO of Better.com or as we all probably know him as the one who fired 900 employees over a single Zoom call.
In December Garg has gone viral for his video where he was seen firing 900 of his staff members over a Zoom call. His words saying “If you’re on this call, you are part of the unlucky group that is being laid off,” and “Your employment here is terminated, effective immediately,” went viral since not only was this just a few days before Christmas but also during the COVID pandemic where employees were working from home.
Garg on his part said that the employees were fired because they were unproductive and “stealing” from colleagues, but the way he went about the firing got him a lot of backlash. So much so that he reportedly took a month-long leave in order to “reflect” on his actions and more as per the company.
Now though, he and his company are apparently being sued for misleading the investors.
Why Is This CEO Being Sued?
Better.com, funded by SoftBank is based in New York, USA and provides “mortgage and insurance products to homeowners.”
While the company and CEO were in news last year for the infamous Zoom call, they have once again made it to reports after an ex-employee sued the company.
Sarah Pierce, was a former executive vice-president for sales and operations at this company and has now chosen to sue it for misleading investors.
Read More: In Pics: Famous Founders Who Were Fired From Their Own Company
In her lawsuit, Pierse has claimed that the company and Garg fudged the statements of Better.com in order to keep investors and continue with the SPAC merger. According to reports investors were worried about the financial condition of the company and had second thoughts.
The merger was between Better.com and SPAC or a special-purpose acquisition company called Aurora Acquisition Corp. The deal was supposed to be around $7.7 billion and had been in talks since last year although it wasn’t closed.
Pierce in the lawsuit also alleged that it is when she pointed out concerns regarding the deal that she was pushed out of her role sometime in February.
She is now asking for financial compensation.
As per Reuters though the company lawyer has already stated that claims made in the suit are “without merit”. They also added that “The company is confident in our financial and accounting practices, and we will vigorously defend this lawsuit.”
Image Credits: Google Images
Feature Image designed by Saudamini Seth
Sources: The Economic Times, Livemint, CNN
Find the blogger: @chirali_08
This post is tagged under: CEO Fired 900 Employees, Better.com lawyer, Better.com, Better.com company, Better.com zoom call, Sarah Pierce, Sarah Pierce better.com, Sarah Pierce better.com lawsuit, Vishal Garg, Vishal Garg better.com, Vishal Garg zoom, Vishal Garg zoom call, Vishal Garg firing, Vishal Garg 900 employees
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