Send this page to a friend!
Fill in the form bellow

news

Lotus Sues Dany Bahar for Being "Abysmal" CEO

The suit asks for £2.5 million for unauthorized expenses

Lotus is still building cars, but sales are slow

LotusLotusUnited Kingdom, 1952 > present68 models
951 photos
7 videos
is suing former CEO Dany Bahar for a long list of unauthorized expenses totaling £2.5 million.

Bahar's allegedly charged a chauffeur, private helicopter travel, 10 watches and renovations to two properties to Lotus while the company remained unprofitable.

Lotus' new owner DRB-HICOM fired Bahar in June after it audited the books and discovered Bahar's accounting. In response, Bahar is suing DRB-HICOM for £6.7 million for wrongful dismissal. The ProtonProtonMalaysia, 1983 > present9 models
41 photos
board said that Bahar had "done an 'abysmal' job as CEO, was excessively extravagant and mercenary and was preoccupied with his own interests."

Bahar says that DRB-HICOM's claims are without merit. Bahar claims that DRB-HICOM is attempting to avoid paying him for a portion of his contract that said if Lotus were sold, Bahar would receive compensation.

According to court documents, Bahar claimed £1.2 million for travel expenses and another £3,000 pounds for watches, which he gave to Lotus managers.

"The spending pattern of the group was not justifiable or sustainable, including the lavish lifestyle of the claimant who appeared to have ignored internal controls," Lotus claimed.

DRB-HICOM bought Lotus in January when it purchased Lotus' parent Malaysian auto company Proton.

Bahar was hired by Lotus in 2009 to turn the company around. Previously, he had been the head of brand identity at FerrariFerrariItaly, 1947 > present233 models
5131 photos
37 videos
and Red Bull.