Friday, November 28, 2014

Netflix sues former VP, claims fraud and kickbacks in IT deals



According to the complaint, [VP Mike Kail,Information Technology Operations] steered around $4.7 million worth of business to companies known as Vistara IT and NetEnrich Corp, which in turn paid Kail regular commission fees worth 12 to 15 percent of the contracts’ value. Netflix says it uncovered emails after Kail departed that describe “referral fees,” and that show invoices made out to “Unix Mercenary,” which is Kail’s personal consulting firm[.] Netflix says Kail was able to get away with the scheme because he was a “trusted senior employee” and had power over approving invoices. The company also states that Kail asked DocuSign, which is a third party contract verification company, to transfer Netflix accounts to his personal name. - Jeff John Roberts,Gigaom [via/web:http://streaming-tv.us]

No comments:

Post a Comment