A former Tyco lawyer who represented two former executives now imprisoned for stealing from the company says the conglomerate owes him $870,000, the Associated Press reported.
The attorney, Joshua Berman, filed a lawsuit insisting he is owed the money for work performed from July through November 2002 after the indictment of ex-CEO L. Dennis Kozlowski and ex-finance chief Mark Swartz, according to the report.
Berman said in court papers that he was employed by Tyco from early 2000 through late 2002, and that he had done work for Tyco while at various law firms for more than 30 years.
Berman, who was hired by Kozlowski, said he had agreed to resign in August 2002 at the Tyco board’s request to avoid raising questions about his role at the firm. However, he said the board asked him to remain temprarily to work on matters that had arisen under Kozlowski and Swartz, according to the wire service. He claims in court papers that he worked on these issues for five months but was not paid.
Berman figures that since he earned $360,000 a year, Tyco owes him $150,000 in salary for the five months. He also says he should get $720,000 under the company’s board-approved severance plan calling for one month’s pay for every $10,000 of salary up to a maximum of 24 months.
Company officials insist he is not entitled to the compensation, according to the AP.