Ben & Jerry’s Foundation Takes Legal Action Against Magnum Over Governance Dispute

WTSA NewsroomVermontNews3 weeks ago54 Views

ADVERTISEMENT

The Ben & Jerry’s Foundation is actively participating in a lawsuit against Magnum, the ice cream brand recently spun off by Unilever.

Liz Bankowski, who has served as president of the foundation’s board of trustees and has been involved with the organization since 1994, emphasized the organization’s commitment to operating independently from corporate influence. Bankowski indicated that Magnum has hindered the foundation’s ability to function autonomously, citing a lack of essential funding and information as central grievances. The legal action, now in the Southern District of New York’s Federal Court, is designed to enforce Unilever/Magnum’s obligations under an acquisition agreement, including financial support for the foundation.

Bankowski highlighted the foundation’s alliance with grassroots organizations related to social justice, environmental action, and other advocacy efforts. She affirmed that the foundation’s structure was intentionally designed to preserve its independence from corporate oversight, enabling meaningful community engagement.

The ongoing dispute has roots in escalating tensions between Ben & Jerry’s and Unilever, particularly regarding the company’s political activism, including its position on conflicts in the West Bank. Bankowski accused Magnum of attempting to fabricate issues within the foundation as part of efforts to regain control.

Abhijit Bhattacharya, the chief ice cream finance officer at Unilever, remarked on the situation by calling for transparency regarding the foundation’s financial dealings after the trustees declined an audit from a London auditing firm. He raised concerns that organizations reluctant to undergo scrutiny often have a history of obscuring financial information.

Board trustee Jeff Furman asserted that the foundation has not undergone regular audits in decades and criticized the motivations behind the proposed financial examination, which he considered suspicious. Additionally, sources reported that prior audits had shown no discrepancies in financial management.

The lawsuit’s backdrop was further complicated last week when Magnum dismissed Anuradha Mittal from the independent board of Ben & Jerry’s, a move she described as retaliation following pressures related to her leadership role and inquiries into corporate conduct. Other board members faced similar dismissals, indicating a broader pattern of friction within the governance structure.

The foundation is determined to stand firm against what it sees as an unwarranted takeover attempt by a large corporation, with Bankowski declaring their resolve to maintain their mission and values.

Leave a reply

Loading Next Post...
Follow
Loading

Signing-in 3 seconds...

Signing-up 3 seconds...