Ex-Uber boss was paid $4m by financier that got 17.5% stake

< div itemprop=articleBody data-test-id=article-review-body > A controversial former Uber boss, who was among the ride-hailing service’s most senior executives when it was swallowed up in crisis in 2015, was paid $4m (₤ 2.8 m) in consultancy charges by the equity capital firm generated to restore the company’s fortunes.Emil Michael got the payment for guidance given to the innovation financier SoftBank as it obtained a 17.5% stake in Uber at the turn of the year.

The SoftBank investment was billed as a fresh start for Uber, after it had actually been overloaded by claims of unwanted sexual advances, a more secure alternative for women than Uber. He included that the idea Uber may collect dirt on its critics was “theoretical”. The occurrence became relevant once again last year as a previous Uber engineer plunged the company into crisis by detailing a series of claims of unwanted sexual advances and discrimination, declaring that management repeatedly dismissed her problems, protected a repeat wrongdoer and threatened to fire her for raising concerns.Michael’s name also emerged in a different row after he and Kalanick went to an escort/karaoke bar in South Korea several years earlier as part of a company journey, which caused a grievance to human resources.Michael’s attorneys,

Schillings, stated the business person was one of 12 executives at his level at Uber and that he was just accountable for 2% of the company’s staff.Schillings added:

“It is false to state that he held part responsibility for the supposed corporate culture at Uber … Our client had no participation in claims of sexual harassment, trade secret violations or information breaches.”The news about Michael’s consultancy cost comes as

the Guardian has actually also developed that SoftBank’s different$ 100bn Vision Fund– which is backed by the likes of Apple and the Saudi Arabian sovereign wealth fund– is barred from holding a stake in Uber despite it being established specifically to purchase technology companies.An obscure clause buried in the fund’s rule book avoids it from taking stakes in”P2P flight sharing “, which rules out financial investments in Uber and its competitors.SoftBank declined to talk about the limitation or discuss why the provision had actually been placed into the rule book.Topics Reuse this material

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https://www.theguardian.com/technology/2018/mar/31/ex-uber-boss-was-paid-4m-by-investor-that-acquired-175-stake