Jaffer was removed from his role as CEO final fall following his arrest on prices of assault with a lethal weapon and performing a lewd act on a toddler.
Nevertheless, a San Mateo County judge subsequently dismissed the charges. The district lawyer’s workplace launched an announcement providing extra context for the dismissal, saying that they didn’t imagine there was any sexual conduct on the night in query, and that “the accidents have been the results of Mr. Jaffer being in a state of unconsciousness brought on by prescription remedy.”
So what’s subsequent for Jaffer and Vungle? There are hints in a current letter from Jaffer’s lawyer, John Pernick, which was despatched to present Vungle CEO Rick Tallman.
TechCrunch has obtained a replica of the letter, which requests entry to Vungle’s information, particularly the names and addresses of firm shareholders. Pernick’s letter means that this may very well be a prelude to additional motion (emphasis added):
Mr. Jaffer is contemplating varied choices with respect to Vungle and his shares of Vungle. He has thought of promoting some portion of his Vungle shares. Nevertheless, he’s additionally contemplating pursuing a management change at Vungle by means of calling for a shareholders assembly for the aim of voting on a brand new board of administrators and/or buying shares of further Vungle inventory. Speaking with Vungle shareholders with respect to their curiosity in buying or promoting Vungle inventory or in a change within the board of administrators is a wholly correct function for Mr. Jaffer’s request to examine the shareholder data that can allow him to make these communications.
When TechCrunch contacted Pernick, he confirmed 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 possibly can see within the quote above, the letter signifies that Jaffer is contemplating a number of programs of motion.
But when he decides to pursue a management change at Vungle, both by profitable over present shareholders or by buying a controlling stake within the firm, it feels like there are traders prepared to again him — for starters, Jun Hong Heng at Crescent Cove Capital Administration confirmed that his agency is working with Jaffer.
“We predict Zain and Vungle have unimaginable potential,” Heng mentioned in an announcement. “We look ahead to working with Zain and giving him the help he wants to assist him regain management of his firm.”
We additionally reached out to Anne-Marie Roussel, who lately resigned from Vungle’s board of administrators. Roussel mentioned through e mail that “the Vungle controversy is an fascinating proxy for a a lot bigger debate: the fuzziness surrounding moral conduct within the tech business.”
She added, “My private prediction is that boards of tech corporations might be held more and more accountable for the ethics of the important thing choices they make.” As for a way that applies to Vungle, she mentioned:
How does it mirror on moral values when a CEO is dismissed primarily based on presumption of guilt? Don’t we reside in a democracy the place one of many key authorized proper is “presumption of innocence” (as in a defendant is harmless till confirmed responsible). Upholding that precept by collaborating along with his protection group was what led to my resignation from Vungle’s board.