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Agency executive goes to court claiming he was wrongly ousted from business he built

An executive at what was for a time one of Australia’s fastest growing PR agencies has launched court action claiming he was unfairly ousted and as a result wrongly deprived of his equity in the business.

Asher Moses lodged the claim against the owners of M+C Partners with the Federal Circuit Court of Australia earlier this month.

Before moving to the world of PR, Moses was one of the country’s most influential tech journalists in his role as technology editor for Fairfax Media.

Moses joined Media + Capital Partners in 2014, helping to quickly build its boutique PR offering. He alleges in the legal documents that he was abruptly terminated in June this year.

M+C Partners’ offerings include investor relations, crisis communications, corporate communications, investor relations, capital raising advisory services and media relations.

The advisory and public relations firm has around 30 employees and has worked with clients including Airbnb, Optus, GE, GoCatch, IAG.

In the statement of claim Moses alleges he was “frozen out from the business”, dismissed unlawfully and deprived of the equity he was entitled to under the company’s employee shareholder scheme.

Moses alleges he was “frozen out from the business”

Moses is the highest profile departure from the investor and media relations advisory firm, which was billed as being a one-stop-shop for Australia’s growing tech and fintech start-up scene when it was launched in 2013.

For a time M+C partners became a haven for former tech journalists moving into the world of PR. The Australian’s Fran Foo and Harrison Polites along with Fairfax’s Ben Grubb and news.com.au’s Andrew Ramadge all joined the company.

Ramadge was involved in the company’s news venture, Stockhead, which was launched in August, while all but Polites have since left the company.

In his claim, Moses is seeking $121,132 for the 5,252 shares the company took back following his departure and another 3,571 he would have been entitled to had he remained in the employee shareholding scheme.

Moses is also seeking lost income and damages for what he claims are diminished employment prospects, stress and humiliation as a result of M+C Partners’ actions.

“[Moses] seeks compensation for the loss arising from the unlawful termination of his employment and the maximum penalty under the FW Act to be imposed on [M+C Partners] and paid to [Moses],” his statement of claims says.

Moses’ problems with the company appear to have started following the death of his father in May 2016. One month later he complained to M+C Partners’ CEO, David Greer, that he was allegedly being “frozen out from the business because he was dealing with mental wellbeing issues” and he was no longer “involved in decision making and high-level planning” as he was previously.

“[Moses] made a number of complaints [to Greer] raising concerns about the restructures to [Moses’] role and the business, the diminishing effect these had on his role and responsibilities and that he considered that he was being frozen out from the business because he was dealing with mental wellbeing issues, specifically that he was no longer involved in decision making and high-level planning as he was previously,” Moses’ statement of claim alleges.

In March 2017, Moses allegedly approached Greer to arrange personal leave to attend to the repercussions of his father’s death, flagging he was still concerned about his capacity to work.

According to Moses’ statement, an agreement for Moses to take a combination of personal leave, unpaid leave and annual leave in the months of April and May was made.

Before taking personal leave, Greer and M+C Partners’ chairman Jonathan Younger allegedly held discussions with the Melbourne-based Moses offering him additional roles and responsibilities to plan a proposed New Zealand office.

After returning to work on June 7 and resuming his usual roles and responsibilities, Moses allegedly presented both Greer and Younger his plan and proposal for the New Zealand office.

According to Moses’ statement, just two days after submitting his New Zealand plans, he was called into a meeting with Greer to discuss his late arrival of 10am to work that day.

“On or about 29 June 2017, [Moses] was called into a meeting without notice in one of the Melbourne office’s meeting rooms in which Mr Greer questioned the [Moses] for arriving to the office at 10am. [Moses] was surprised by Mr Greer’s comments (particularly given Mr Greer was not even based at the Melbourne office) and complained that he (and other employees) had always been granted flexibility with respect to working hours and working from home and further that [Moses] has specifically negotiated flexible working hours with [M+C Partners] . In this same meeting, Mr Greer also said to [Moses] words to the effect of “I thought you were better now?,” the former director alleges.

The following day, Moses’ employment was terminated in a phone call between him, Greer and M+C Partners’ chairman Jonathan Younger.

“Mr Greer and Mr Younger telephoned [Moses] and Mr Greer informed [Moses] without notice that his employment was being terminated,” the statement claims.

“During the telephone conversation, [Moses] asked if he was being made redundant to which Mr Younger responded with words to the effect of “No, we can terminate you with 4 weeks’ notice at any time”. No other reasons were given for dismissal,” Moses’ statement of claim alleges.

Later that day Moses received an email confirming his termination and orders to go on four weeks “gardening leave”. Despite repeated attempts by Moses to agree a transfer price of the 5,952 shares, the parties failed to come to an agreement.

On September 21, following Moses starting proceedings against the company with the Fair Work Commission, the trustees of M+C partners’ employee shareholding plan advised Moses his employee shares would be bought back for “nil consideration” on the board’s instructions.

Moses told Mumbrella: “It’s disappointing that I can’t comment, as the matter is before the court.”

Responding to the claims, a spokesperson from M+C Partners, told Mumbrella: “These issues are raised in proceedings before the Federal Circuit Court and it is therefore not appropriate for us to comment in any detail. We deny absolutely that we have acted unlawfully or unfairly. The company has not had an opportunity to formally respond to the court proceedings but will be doing so. These matters are strongly denied and will be vigorously defended.”

The case will next appear in the Melbourne Federal Circuit Court on December 14 before Judge Harnett.

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