The controversial CEO and founder of Intelligent Global Pooling Systems (iGPS), Bob Moore, has sued the company he started and its financial backers. The lawsuit claims breach of employment agreement among other things when the parties failed to compensate him and other iGPS employees according to the terms of various agreements. Moore’s lawsuit contends that his former business partners breached their agreement for no legitimate business purposes and to personally enrich themselves. Moore also suggests that he was fired without cause and that one of the reasons for his termination may have been his age, which lays the groundwork for an age discrimination lawsuit. The lawsuit was filed in mid July in the New York State Supreme Court naming iGPS, Pegasus Capital Advisors, Kelso Group among other entities and investors.
Executives from iGPS, Pegasus and Kelso declined requests to comment about the lawsuit. The lawsuit ends what had been a quiet period for iGPS after Moore was removed as the top guy late last year. Being sued by your founder is certainly a major roadblock for iGPS, which has struggled since losing some major customers due to pallet supply problems.
Moore recently stated in an interview with Pallet Profile that iGPS is in demise and that the company is compromised because the financial backers are not building the pool and are backing out of agreements with vendors and customers. Moore explained that iGPS hasn’t bought any pallets in 2011 and likely won’t in 2012 because the investors indicated in September 2010 that they didn’t want to spend more in pallets at that time.
The lawsuit is likely to be the first shot in what could get ugly depending on how long it drags on. Both sides have enough money to keep the legal battle rolling for a while. Moore estimated the value of his lawsuit at $125 million although he provided no evidence to support his assertion.
