New York City lawsuit implies Activision CEO Bobby Kotick used Microsoft deal to "escape accountability"

gamesradar.com:

A new lawsuit filed in Delaware alleges that embattled Activision CEO Bobby Kotick ignored misconduct at the company and that the publisher's $70 billion acquisition deal with Microsoft would allow Kotick to "escape liability and accountability entirely." 

As Axios first reported, the complaint was jointly filed on April 26 (public version filed May 2) by the New York City Employees' Retirement System together with pension funds for the city fire department and police, as well as the board of education and teachers' retirement systems. This might seem like an odd group of plaintiffs, but these groups own stock in Activision, hence their allegations that actions from company executives, including Kotick, hurt the company's value.

The complaint claims that Activision failed to submit requested records following a Section 220 demand, and that Kotick specifically "was aware of numerous credible allegations of misconduct" at the company "but did nothing to address them or prevent further offenses."

Furthermore, these groups claim that while "Kotick therefore faced a strong likelihood of liability for breaches of fiduciary duty, together with other members of the Board," the company's deal with Microsoft, which was overseen by Kotick, would allow him "to escape liability and accountability entirely." 

This story is developing…