Major U.S. Retailer Files Suit Alleging Multi-State Real Estate Fraud, Bribery Scheme
The whole company was bought at a 115% premium last year by some South African holding company. Doesn't sound shady at all.
Quote:
The country's largest mattress retailer is accusing a host of real estate companies and executives, including its nationwide real estate broker, of a multiyear scheme that involved inflated store rents, bribes, high-priced gifts and kickbacks from developers. The company claims the scheme may have affected more than 800 stores nationwide.
The leadership of this company sounds really bright. I wouldn't be surprised if this is just the tip of the iceberg.Quote:
The retailer also accused Deitch of supplying undefined kickbacks to Levy and Vinson to secure his deal with Mattress Firm as the master broker. In order to push store growth, the trio presented Mattress Firm's real estate committee with "falsely optimistic sales forecasts" and "misrepresented the projected per-store sales for leases," the lawsuit alleges.
The whole company was bought at a 115% premium last year by some South African holding company. Doesn't sound shady at all.