CEO of UK's Sports Direct charged with criminal offense

By

Cajsa Lykke Carlson

Published
Oct 9, 2015

The CEO of Sports Direct, the largest sports retailer in the UK, has been charged with a criminal offense, reported The Guardian.

David Forsey, the CEO, has been charged with failing to notify the authorities of a lay-off of warehouse staff in Scotland after Sports Direct's fashion retailer USC collapsed. Around 200 staff members were given only 15 minutes notice that they were being fired.

Forsey's case will be heard at Chesterfield's magistrates court next week.

The UK Insolvency Service said: “We can confirm that criminal proceedings have been commenced against David Michael Forsey. He is charged with an offence contrary to section 194 of the Trade Union and Labour Relations (Consolidation) Act 1992."

“The investigation into the conduct of the directors is ongoing. The inquiries are at an early stage and given the criminal proceedings it is not possible nor would it be appropriate to comment any further.”

UK employment law states that workers should get at least 30 days notice before losing their jobs. “This judgement from the tribunal is very good news for the former employees at Dundonald who brought the case. They showed courage in standing up to and beating a rich and powerful employer like Mike Ashley who used disgraceful and unlawful employment practices," said Rory McPherson, a partner at Thompsons Solicitors, which represented the 50 workers.

Sports Direct, which declined to comment on the Guardian article, has a history of legal actions taken against the company, related to employment issues.