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Media Statements from UDWI REMC Board of Directors

 

UDWI REMC files counterclaim against former CEO

February 14, 2018

The Utilities District of Western Indiana REMC filed its counterclaim today against former Chief Executive Officer Brian Sparks, who sued the Cooperative in December alleging Breach of Contract and other damages.

The counterclaim, filed by UDWI REMC’s legal counsel, affirms the Cooperative’s assertion that Sparks was terminated for cause and further cites he owed a fiduciary duty to the Cooperative, which he failed to honor during his employment from 2006 to 2017.

The counterclaim states that Sparks abused his position as CEO and put his and his family’s interests above those of the Cooperative and its members. The filing offers examples of Cooperative funds being used for sports tickets for personal use, sponsorships not affiliated with any UDWI business interest, unapproved and excessive charitable donations, and political contributions that were not actually given to political candidates or causes.

Included in the filing, are allegations that Sparks caused UDWI to incur improper and personal expenses for him and members of his family, and that he did not follow appropriate procedures for documentation, reimbursement and did not demonstrate legitimate business purposes for expenses. The claim states that Sparks’ conduct constituted malicious, fraudulent and, in some cases, blatant theft or conversion of UDWI funds.

UDWI’s counterclaim requests an award for damages, which includes all losses caused to the Cooperative by Sparks including the ongoing and significant costs of the internal investigation related to his actions, monies paid to Sparks that he unjustly collected during his employment, and attorney’s fees.

UDWI staff and Board of Directors will provide no additional comments regarding the counterclaim and pending legal matters.

 

 

 


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