Uber Investor Wants Travis Kalanick Removed From Company

Uber Investor Wants Travis Kalanick Removed From Company

The suit specifically accuses Uber's founder of attempting to execute a "power grab" on the company's board, and for failing to tell investors about the series of troubling incidents that ultimately led to Kalanick's resignation. It claims Kalanick is trying to pack Uber's board with his allies and eventually return to his post as CEO.

Kalanick responded through an attorney, who called the suit, "completely without merit and riddled with lies and false allegations".

The mismanagement Benchmark cites in the case includes sexual discrimination claims brought against Uber earlier this year, as well as the acquisition of autonomous trucking company Otto, which has led to a trade secret case filed against it by Google-owned self-driving auto unit Waymo.

ICYMI, Mr Kalanick was a co-founder of the company and turned it into a tech giant worth $US68 billion ($86.5 billion). An Uber spokesperson declined to comment.

Will Travis Kalanick, the ousted CEO of Uber, ever get a break?

The venture capital firm claims that would harm Uber's shareholders, employees, drivers and customers. However, his relationship with Kalanick soured at some point earlier this year, and he soon became a well-known critic of the former CEO.

The move is highly unusual for a VC firm to take, even though Uber itself is not the subject of the lawsuit.

Axios said it was unable to reach either Benchmark or Kalanick.

It wants the removal of three extra board seats at Uber, added by Kalanick in June past year. Benchmark accused Kalanick of gross mismanagement and hopes to quash any attempt by Kalanick to return as head of the company.

Benchmark says Kalanick was aware of these issues in 2016 when the board made a decision to increase the number of voting directors from eight to 11.

It lost another key member of its personnel on Thursday when its senior vice president of global operations, Ryan Graves resigned, although Uber's first ever employee will keep his seat on the board. The other two remain vacant.

"We would request that Benchmark help the company realize its full potential by allowing the necessary work to be done in the board room rather than the courtroom", the shareholders wrote in a letter to the board.

Benchmark alleges information was withheld about "a pervasive culture of gender discrimination and sexual harassment that ultimately prompted an investigation by the former U.S. Attorney General Eric Holder". "Kalanick also understood that these matters, once revealed, would likely force him to resign as Uber's CEO, and thus sought to grant himself a way to play an ongoing leadership role at Uber once the truth came out".

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