Clients behaving badly? Fiat Chrysler misappropriation case touches Maxus & Digital Dialogue

By James McGrath and Rosie Baker | 25 May 2015
 

WPP agency Maxus and digital agency Digital Dialogue have been named in an unfolding court case alleging former Fiat Chrysler boss Clyde Campbell siphoned off as much as $30 million of company money for personal use.

The media agency is mentioned in one element of the case, while digital agency Digital Dialogue is brought into another. Other elemetns include a luxury resort, and celebrity endorsement contracts.

The case is currently in Federal Court, with the Sun Herald reporting on details of the writ issued by Fiat against Campbell over the weekend.

The writ alleges that Campbell conducted several deals outside of his remit, with a personal gain alleged to have been made on several of the deals.

Maxus has been mentioned in the writ in relation to a deal allegedly struck between Fiat Chrysler and a company named as Andrew Vukosav Photography.

The writ alleges that both Vukosav Photography and Maxus issued invoices to Fiat Chrysler to the amount of $191,192.89 for “the production and delivery of Alfa Romeo outdoor advertising” and a “yearly site subscription fee”. The writ alleges that these services were not provided for Fiat Chrysler.

It is understood that Maxus was asked by the client to bill for a directly negotiated sponsorship arrangement - however it then never appeared.

In response, Maxus said that it could not comment on the case as it is currently before the Federal Court in Victoria, but it is understood Maxus is confident that it has done nothing wrong in the case. There is no suggestion that it played a part in any wrongdoing.

The case comes as former Fiat Chrysler CMO Mark McCraith heads back to Maxus as COO of its Melbourne office, where he was also COO before joining the automotive firm.

Digital Dialogue, a digital agency that was previously part-owned by Fiat Chrysler marketing director Sam Tabert, was contracted to provide web services valued at $6.6m over three years, is also fingered in the case. Tabert reliquiished his stake in the agency when the contract was signed but resurfaced as part owner of its parent company, according to the SMH.

The case is listed for an interlocutory hearing on Wednesday.

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