McCormick on Unpaid Leave
By John Sandman, Standards Editor
October 25, 2005 - McCormick, CEO of network provider Savvis Communications, was put on an unpaid leave of absence Monday following a court claim brought by American Express last week that McCormick used his Amex-issued company credit card on Oct. 23, 2003 to charge $241,000 of expenses at Scores, a New York adult entertainment club featuring strippers and lap dancers.
In papers filed last week in a New York state court, Amex says that it paid Scores to cover those charges but that McCormick did not reimburse Amex the amount outstanding on his corporate card account.
Last week, McCormick disputed the amount of the charge, stating that $20,000 of the total was legitimate. Savvis has denied McCormick ever submitted the charges to Savvis for reimbursement. The St. Louis-based company's audit committee is "conducting a full investigation into matters relating to a lawsuit brought by American Express Travel Related Services," according to a Monday press release.
2 comments:
He must have known there would be a day of reckoning for that night at Scores. Good contingency plan, Eddie!
It was worth every penny!
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