On Wednesday, it was revealed that American Apparel’s CEO Dov Charney was accused by a former employee of holding her prisoner and making her his “sex slave” when she was 18-years-old. Moreover, Charney allegedly agreed to settle a lawsuit regarding the incident for an amount “in the low six figures.”
Now, according to Monday’s New York Post, the company’s board fired Charney over accusations of allowing an employee to post nude photos of the accuser, Irene Morales, on a blog that was purportedly authored by Morales. The board became increasingly concerned that the blog defamed Morales and also broke a California statute that prohibits impersonating an individual online. They charged that Charney’s actions exposed the company to liability.
American Apparel co-chairman Allen Mayer remained silent as to whether Charney’s firing had anything to do with his alleged treatment of Morales, but commented, “We have heard for years allegations and rumors in newspaper stories that were not sufficient to take action… But what came to our attention was not allegations and rumors but established fact.”
It is unclear if a video disclosed on Friday of Charney dancing around naked in front of two female employees had anything to do with Mayer’s decision making process.
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