Now serving a prison term of 8.25 to 24 years is former Tyco International CEO Dennis Kozlowski, a corporate executive who made lavish executive spending into an art form.
Having been with Tyco since 1975, Kozlowski took over as CEO in 1992 and worked out for himself compensation packages beyond the wildest dreams of avarice.
Company stockholders began to take notice of his excessive compensation, and news began to surface regarding his $30 million Fifth Avenue apartment in New York, a $15,000+ umbrella stand, and--wildest of all--a $6,000 shower curtain.
Then there was the matter of a birthday party held on the island of Sardinia for Kozlowski's wife Karen, who divorced him in 2006. The party was tricked out as a stockholders' meeting and cost the company a reported $1 million, with the high-living CEO contributing a like sum.
These matters, plus allegations of high-ticket art purchases paid out of company funds and absurdly high bonuses for other top corporate brass, led to Kozlowski's resignation in 2002.
Eventually he and his CFO were charged with having stripped the corporation of around $600 million. He was convicted in 2005. His appeal was rejected.
No comments:
Post a Comment