Debate: Former CEO Of Bricsnet Indicted For Embezzlement
We have all read the news about Former Bricsnet CEO, Farid Jinian indicted for embezzlement.
Press Release
SAN FRANCISCO ― The former head of San Francisco software company is being held without bail after a federal grand jury indicted him on embezzlement charges.
Federal prosecutors say Ethan Farid Jinian was arrested at San Francisco International Airport Wednesday after returning from a trip to China.
According to an indictment returned on Nov. 12, the 49-year-old San Francisco man is alleged to have embezzled more than $1 million from Bricsnet FM America Inc. between November 2006 and September 2008 while he was CEO of the company.
The indictment was unsealed Thursday when Jinian made his first court appearance.
According to prosecutors, Jinian directed other Bricsnet employees to issue checks to him, claiming that he was promised the money as part of his compensation.
Debate
However the article is not the most important thing that crosses my mind. I wonder how to what extend it will affect Bricsnet? What do you think about this? You can use the comment feature below this post to give your opinion.
Regarding the effects on Bricsnet of the arrest of its former CEO there is no debate: The effects have been uniformly positive. Fourteen months ago, after discovering financial irregularities, Bricsnet immediately fired its then-CEO and asked the Federal Bureau of Investigation to investigate. Last week’s arrest was thus the culmination of a discovery process initiated and fully supported by Bricsnet. During that same period of time, Bricsnet and its investors have instituted measures that not only solidified but enhanced its financial clout. The company has become a full subsidiary of Torimbia, a Madrid-based real estate holding of companies, that is its majority investor; Torimbia has assumed direct operational control of Bricsnet; and Bricsnet’s executive team and staff have been augmented by Torimbia executives. Notably, Bricsnet’s current CEO, appointed 14 months ago, is a principal of Torimbia, who has been on Bricsnet’s Board for the past 7 years. Bricsnet’s customers and business partners were informed 14 months ago of the investigation and Bricsnet’s pro-active stance. Bricsnet is pleased that this matter is in the hands of the criminal justice system, where it belongs.
Dave,
thank you so much for your reply! Your reply has provided some valuable insights!
Yours Sincerely,
Steven
As a former employee I was surprised to hear the news. When Farid replaced the former CEO, he quickly forced most of the existing management team out and and divided the office. While his tactics were extreme I did not see him as a criminal. In hindsight it appears that his questionable professionalism and divisive behavior was much more than just a CEO trying to turn around a struggling company but an attempt at personally profiting at the expense of the investors and employees. This is very sad and I’m glad that he will pay for his actions.