Home > News > Whistleblower Sues Playboy for Wrongful Termination • Bookmark   • Newsletters   • Register Search Options

NEWS STORY

Whistleblower Sues Playboy for Wrongful Termination

Whistleblower Sues Playboy for Wrongful Termination
Get XBIZ News
XBIZ Research
Which candidate would you like elected U.S. president?
Hillary Rodham Clinton
  33.11%
Ted Cruz
  1.37%
Bernie Sanders
  32.76%
Donald Trump
  22.18%
I don't care
  10.58%
Out of 293 votes. Results based on votes submitted by members of XBIZ.net social network.
Oct 2, 2012 7:45 AM PDT    Text size: 

LOS ANGELES — Former Playboy Enterprises controller and ex-senior vice president Catherine A. Zulfer is suing the company for wrongful termination, claiming she was fired for not pushing through $1 million executive bonuses without board approval.

Zulfer claims she was laid off after refusing to take part in the embezzlement scheme hatched by CEO Scott Flanders and CFO Christoph Placher in October 2010.

Neither executive is named as a defendant in Zulfer's complaint against Playboy.

The suit maintains that Playboy violated the California Whistleblower Act and was filed in U.S. District, Central District last week. Zulfer, 56, also alleges that she was terminated because of her age and a company policy of canning employees there for more than 10 years.

Zulfer also sates that she was frozen out of meetings and was forced to take on an extraordinary workload after the company downsized while still in Chicago.

The 24-year Playboy veteran was fired on Dec. 31, 2011 after refusing a second request to dole out unwarranted bonuses in January 2011. At that time she blew the whistle on the scheme and reported what she saw as shady accounting practices to Playboy’s general counsel and the Securities and Exchange Commission (SEC).

The lawsuit does not report if the SEC responded to Zulfer’s allegations.

"She was extremely concerned that CFO Pachler and/or CEO [Scott] Flanders were attempting to effectively embezzle, steal or convert Playboy assets," Zulfer states in the 20-page complaint. "In the least, plaintiff reasonably believed that approving or paying bonuses without board approval would be dishonest to shareholders and violate Playboy governance and GAAP (generally accepted accounting principles)."

Most of the money was earmarked for Flanders and Pachler, Zulfer alleges.

According to Courthouse News Zulfer called Playboy’s action a “retaliation” against her.

Zulfer seeks punitive damages, reinstatement or front pay, and an injunction. She is represented by David deRubertis of Studio City, Calif.

Playboy was contacted by XBIZ for comment but did not respond by post time.

More ways to get XBIZ News:  RSS Feeds  |  E-Newsletters  |  Desktop Widget  |  Mobile
Looking for porn star news and behind-the-scene videos? Check out XFANZ.com !

BUSINESS ANALYSIS

Retailers, Distributors Proclaim Sex Toys As Mainstream as Ever

If sex toy users from the year 1986 had looked into a crystal ball, they would have been shocked by what the retail and distribution landscape would look like for sex toys and pleasure products 30 years... More »

Lube Manufacturers Report Healthy, Natural Ingredients as Top Priorities for Consumers

The pleasure products sector has many facets in 2016, from fetish attire to a wide range of vibrators, dildos and other sex toys. And one area of the pleasure products sector that has continued to grow... More »

Consumer Demands for Safety Revolutionize Sex Toy Manufacturing

The toy materials debate remains one of the touchiest topics among pleasure product businesses and supporters. Sex educators, wellness organizations and sex toy bloggers aren’t giving up easily,... More »
XBIZ NEWSLETTERS
Stay informed of the latest industry developments. Get XBIZ newsletters delivered to your inbox. Subscribe today!
Enter email address:

* To manage existing subscriptions click here.






POPULAR PRODUCTS & SERVICES
Submit your press release to
multiple news outlets with 1 click.
Subscribe to RSS news feeds or
add free content to your website.
Access XBIZ news and articles
with your mobile device.
Subscribe to XBIZ Premiere magazine, the industry's leading adult retail trade publications, delivering the most timely and comprehensive business news and information to producers and retailers of adult products.

UPCOMING EVENTS

QWEBEC Expo 2016

Aug 04 - Aug 07
Montreal, Canada

Gentlemen’s Club EXPO

Aug 07 - Aug 10
New Orleans, Louisiana

Sexhibition

Aug 19 - Aug 21
Manchester, U.K.

EXXXOTICA Columbus

Aug 26 - Aug 28
Columbus, Ohio
Everyday thousands of business professionals browse XBIZ's industry directory for quality products and services. Not listed yet? Your company could be losing potential new business. Submit your company today!
Use XBIZ RSS feeds to stay informed of the latest industry developments or as a content syndication tool for your website!