‘IT IS TIME’

Guess Stakeholder Demands Firing of Co-Founder Paul Marciano Over Sexual Misconduct Claims

The investment firm plans to call out specific female board members for alleged hypocrisy in not taking action against Marciano, according to docs reviewed by The Daily Beast.

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A shareholder in fashion giant Guess Inc. on Wednesday plans to publicly demand the retailer dump its embattled co-founder Paul Marciano, who’s been accused of sexual assault or harassment by at least 10 women, and call out members of the board for failing to do so.

“For more than a decade, allegations of sexual assault and harassment against Paul Marciano have mounted, including while his brother Maurice Marciano served as Chairman of the Board,” Legion Partners co-founder Ted White said in a statement. “We have heard from victims, advocates and our fellow GES investors—who have echoed our demand that it is time for the independent directors of the Board finally to step up and remove the Marciano brothers from Guess.”

In a presentation to be released to shareholders, which The Daily Beast obtained and reviewed, the investment firm plans to single out independent board members like Laurie Ann Goldman, who often speaks about female empowerment. “We call on Ms. Goldman to act in keeping with her reputation as a strong supporter of women and address the issues associated with Paul Marciano,” the presentation declares.

Last month, Legion called on the board to remove the Marcianos, citing the many allegations against Paul and a 2018 probe concluding the mogul “exercised poor judgment” and put himself in situations where “plausible allegations of improper conduct could, and did, arise.”

UPDATE: Guess issued a lengthy statement on Thursday. “Legion Partners’ claim that the Board has 'turned a blind eye' to allegations regarding Paul Marciano is demonstrably false,” the company wrote. “The Guess Board takes allegations of sexual impropriety or unethical conduct extremely seriously.” The statement added: “The Board’s decision to continue to employ Paul Marciano and re-nominate him as a director was informed by the findings of the months-long Special Committee investigation, which was determined to be more comprehensive, conclusive and accurate than anything reported in the media or elsewhere.”