Jaffer used to be removed from his role as CEO role final fall, following his arrest on fees of attack with a perilous weapon and appearing a lewd act on a kid.
However, a San Mateo County judge subsequently dismissed the charges. The district legal professional’s place of business launched a remark providing extra context for the dismissal, announcing that they didn’t consider there used to be any sexual habits at the night in query, and that “the injuries were the result of Mr. Jaffer being in a state of unconsciousness caused by prescription medication.”
So what’s subsequent for Jaffer and Vungle? There are hints in a contemporary letter from Jaffer’s legal professional John Pernick, which used to be despatched to present Vungle CEO Rick Tallman.
TechCrunch has received a replica of the letter, which requests get admission to to Vungle’s information, particularly the names and addresses of corporate shareholders. Pernick’s letter means that this may be a prelude to additional motion (emphasis added):
Mr. Jaffer is thinking about more than a few choices with admire to Vungle and his stocks of Vungle. He has thought to be promoting some portion of his Vungle stocks. However, he’s additionally taking into consideration pursuing a management trade at Vungle via calling for a shareholders assembly for the aim of vote casting on a brand new board of administrators and/or buying stocks of further Vungle inventory. Communicating with Vungle shareholders with admire to their hobby in buying or promoting Vungle inventory or in a metamorphosis within the board of administrators is a completely correct function for Mr. Jaffer’s request to investigate cross-check the shareholder knowledge that can allow him to make those communciations.
When TechCrunch contacted Pernick, he showed the authenticity of the letter however declined to remark additional. A spokesperson for Jaffer additionally declined to remark, and Vungle didn’t reply to our inquiries.
As you’ll be able to see within the quote above, the letter signifies that Jaffer is thinking about more than one classes of motion.
But if he comes to a decision to pursue a management trade at Vungle, both through profitable over current shareholders or through buying a controlling stake within the corporate, it feels like there are traders keen to back him — for starters, Jun Hong Heng at Crescent Cove Capital Management showed that his company is operating with Jaffer.
“We think Zain and Vungle have incredible potential,” Heng mentioned in a remark. “We look forward to working with Zain and giving him the support he needs to help him regain control of his company.”
We additionally reached out to Anne-Marie Roussel, who lately resigned from Vungle’s board of administrators. Roussel mentioned by the use of electronic mail that “the Vungle controversy is an interesting proxy for a much larger debate: the fuzziness surrounding ethical conduct in the tech industry.”
She added, “My personal prediction is that boards of tech companies will be held increasingly accountable for the ethics of the key decisions they make.” As for the way that applies to Vungle, she mentioned:
How does it replicate on moral values when a CEO is brushed aside in line with presumption of guilt? Don’t we are living in a democracy the place one of the important thing criminal proper is “presumption of innocence” (as in a defendant is blameless till confirmed in charge). Upholding that idea through taking part along with his protection crew used to be what led to my resignation from Vungle’s board.