The CEO was fired for throwing a startup’s $ 76,120 in debauchery at the striptease bar

According to newly released legal documents, the Turvo Board has accused Eric Gilmore, the CEO and co-founder of the company, of consistently wasting money on striptease clubs. This is also the reason why Gilmore was sent to waste in May.

Gilmore, 39, did not deny the allegations but filed a lawsuit against the company, claiming that the board did not follow the proper protocols for his dismissal. Turvo said it did and they solved the problem last September. Gilmore declined to respond via the spokesperson.

Gilmore is a former Microsoft Corp employee and Coupons.com started Turvo in 2014. Mubadala Investment Co., Abu Dhabi’s investment fund, has invested US $ 60 million in Sunnyvale, California-based company. last year. Shortly after receiving the investment, Gilmore hired a new chief financial officer, who discovered something unusual when considering the company’s spending.

Accordingly, the costs associated with strippers exist from the time the company is newly established and Gilmore has no intention of hiding them. The section for the striptease club is more than half of the $ 125,000 entertainment bill discovered by the company’s new chief financial officer.

In an extraordinary meeting in May, the Board of Directors learned about these expenses through the Chief Financial Officer’s report. Venture capital funds have agreed that Gilmore needs to leave. They asked him to sign a separation agreement.

Gilmore declined and argued that his rejection process violated company rules. That was the reason for Gilmore’s 3-month lawsuit. Currently, the 39-year-old is still on the Board of Directors and is Turvo’s largest shareholder. The other two co-founders still hold executive roles at this startup.

Gilmore’s scandal also led to a series of new regulations at Turvo. Accordingly, the new CEO Scott Lang has made important policies for this startup. Specifically, Turvo employees, at all levels, will not be able to entertain clients at striptease clubs. The bill for this will not be paid.

Lang, a former chief executive of an energy business, joined Turvo shortly before the Thanksgiving. This Silicon Valley startup specializes in software to track freight movements and raise $ 85 million from venture capitalists.

In the first interview since taking the job, Lang said he would try to put the company through the scandal. When asked about trying to get contracts through entertaining clients at striptease clubs, Lang emphasized that it would never, never be allowed to happen.

At Turvo, company leaders are working to resolve reports of misconduct before they are exposed. The #MeToo movement has brought many tech directors, including Kris Duggan of Betterworks Systems Inc. and Andy Rubin of Essential Products Inc…. show off with abuse allegations.