After firing 900 on Zoom calls, Better CEO Vishal Garg now sued for misleading investors
After drawing attention for firing 900 employees over a Zoom call, Vishal Garg, the CEO of Better.com, is once again in the limelight for all the wrong reasons — this time with an ex-employee suing him. A former employee of Better.com has sued the company and Garg, accusing them of misleading the investors. Sarah Pierce, a former executive vice-president for sales and operations at Better.com, says in her lawsuit that Garg “misrepresented Better.com's statements to ensure investors go through with a SPAC merger instead of withdrawing due to its financial condition.”
In a statement to Reuters, a company lawyer on behalf of better.com says that the claims were "without merit”. Better.com is a company that offers mortgage and insurance products to homeowners. Headquartered in New York, the company is headed by Indian-American business entrepreneur Vishal Garg who came to the limelight last year after he fired 900 employees in one go on a Zoom call. Later, Garg apologised for the way he handled the issue.
ALSO READ: After mass firing outrage, Vishal Garg led Better.com offers this plan to employees
In 2022, Garg sent a mail to his employees, acknowledging that he personally guaranteed $750 million of the $1.5 billion cash infusion into the company by SoftBank. "I am fully committed with everything I own and will ever own. Five years from now, when that SoftBank $750 million loan comes due around my 50th birthday, it means I have nothing. Well, at least we will have given it a real shot... this is true. I did personally guarantee three quarters of a billion dollars and I'm personally liable for it," Garg told the employees.
After the incident, Garg continued to be a controversial figure. He wrote an anonymous post on the company
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