Ex-Sterne Agee CEO Didn't Know His Corporate Card Wasn't Meant To Be Used On Boats, Trucks, Condos, Yachts, Etc

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What? No good?

If anyone had said anything to James Holbrook when he first started there about that sort of thing being frowned upon...cause, you know, he's worked in a lot of offices and people do that all the time.

Sterne Agee Group Inc., one of the fastest-growing brokerages in the South, sued its former chief executive officer over claims he took his corporate credit card on a decade-long spending spree for fishing boats, a yacht, a vacation condominium and ownership in a luxury ski chalet. The complaint against James S. Holbrook Jr., ousted as CEO in May, follows revelations that he’s being investigated by the U.S. Justice Department over the claims... “Holbrook wasted SAG’s corporate assets and used them for his own personal benefit,” the Birmingham, Alabama-based brokerage said in the complaint. His conduct “was beyond how a reasonable person might act in his position,” according to the filing...

Holbrook, starting in 2003, used corporate assets to buy two fishing boats and a Chevrolet Suburban through an entity he formed called Birmingham Broward LLC, according to the complaint. Over the next few years, the executive used company resources in a similar manner to invest in the ski chalet in Deer Valley, Utah, and acquire an interest in Five Star Plantation LLC, a hunting club in Kellyton, Alabama, according to the complaint. The most recent purchase described in the complaint was in March, when Holbrook allegedly diverted company resources to buy a 68-foot (21-meter) luxury fishing yacht.

Sterne Agee Sues Ex-CEO Claiming Company-Card Spree [Bloomberg]

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