OrderPro Ex-CEO Denies Allegations

 
 
By Jacqueline Emigh  |  Posted 2004-08-09 Email Print this article Print
 
 
 
 
 
 
 

Former CEO Richard Windorski claims in a letter to shareholders that he's getting slandered by the logistics supply chain company, which filed a lawsuit alleging his involvement in stock scams.

Hot on the heels of a court complaint by OrderPro Logistics, former company CEO Richard Windorski has sent out a letter to shareholders, flatly denying allegations of involvement in kickbacks and other stock schemes and also accusing OrderPros board of directors of slander. The Internet-based logistics startup announced Aug. 6 that it had filed a court complaint seeking unspecified damages against Windorski, along with injunctive relief, for his alleged role in stock scams and diversion of corporate funds. Filed in the Superior Court of Pima County, Ariz., the complaint charges that "tens of millions" of shares may have been improperly issued. It also states that more defendants—including recipients of improperly issued shares—might be named in the future. OrderPro Logistics Inc. has retained Lewis and Roca LLP for legal representation in the suit.
Windorski, who founded OrderPro, resigned on May 6 from the position of CEO at the Tuscon, Ariz.-based logistics management company but stayed on in the role of senior adviser and consultant, focusing on continued domestic-market development as well as work with OrderPros European business unit. Windorski was replaced as CEO by Jeffrey M. Smuda.
Click here to read about how Oracle Corp. is boosting supply chain management in its E-Business Suite Version 11i.10. In his letter sent out Monday, Windorski accused the OrderPro board of directors of trying to paint him as a "dishonest individual" through "public lies" and regulatory filings, so as to eliminate any influence he might hold onto as a major shareholder. Windorski also denied all of OrderPros allegations and said he will pursue legal means of defending himself and family members from what he termed "malicious attacks" by OrderPros board.
OrderPro announced on March 25 that it would list its stock on the Berlin Bremen Stock Exchange to give European investors a chance to participate as OrderPro built its European business unit. OrderPro also trades on the Nasdaq OTC Bulletin Board. Ten days before that, OrderPro announced that it had secured about $1.1 million in equity funds in exchange for issuing 1.5 million three-year warrants, exercisable at 30 cents, to Mercator Advisory Group and its affiliated funds. Wal-Mart and Proctor & Gamble will soon start testing the Global Data Synchronization Network, an Internet-based supply chain initiative for streamlined communication of product information. Click here to read more. Some online stock advisories issued bullish stock alerts on July 12 on news that OrderPro had executed a letter of intent to acquire an unidentified multimillion-dollar company, based in California and specializing in freight management software. At press time, OrderPro had failed to respond to requests from eWEEK.com for more information. Windorski replied but said he must refrain from further comment beyond his letter at the advice of legal counsel. Check out eWEEK.coms Supply Chain Management & Logistics Center for the latest news and analysis of enterprise supply chains.
 
 
 
 
 
 
 
 
 
 
 

Submit a Comment

Loading Comments...
 
Manage your Newsletters: Login   Register My Newsletters























 
 
 
 
 
 
 
 
 
 
 
Rocket Fuel