Charney also contested his looming termination in a filing with the Securities and Exchange Commission on Monday, and is gathering a "posse," to use Women's Wear Daily's terminology. Per the trade, his SEC paperwork claims he and "certain people, including stock holders…who expressed support for his continued leadership" are examining "potential changes to the composition of the board and management of [American Apparel]." He doesn't name names, and it's unlikely a roll call would include any board members, who were unanimously in favor of his ouster; however, as the company's largest shareholder with 27.2%, Charney's probably mingled with the others.
The weekend's news cycle contained an outpouring of reasons for Charney's dismissal, among them: his knowledge of a blog displaying nude photos of an employee who alleged was his "sex slave"; his refusal to participate in sexual-harassment training; and his payment of significant severance packages to former employees using company money to protect himself from litigation. He reportedly purchased airline tickets for his parents with American Apparel's funds and stayed in corporate lodgings while not on business. (Read his termination notice in full here.)
In her letter, Glaser dubs the charges "completely baseless," and adds, "Most involve activities that occurred long ago (if at all) and about which the Board and the Company have had knowledge for years." Deciding who's worse among this group is akin to picking out an AA bodysuit — plenty of heinous choices that all cause discomfort.