After party claims, CTPartners pulls $11.9M stock sale

Written By Unknown on Rabu, 10 Desember 2014 | 10.46

That was one expensive party!

Wall Street recruiter CTPartners pulled a public stock sale that would have raised $11.9 million after The Post published a complaint on Monday detailing sexual discrimination claims, including a boozy, naked romp led by the CEO.

The stock, which tanked 24 percent the day of The Post's story, closed up 8.8 percent at $15.23 on Tuesday after the company yanked the deal that would have diluted existing shareholders.

The shares, which had risen 250 percent this year, are still down 18 percent from Friday's closing price of $18.50.

CEO Brian Sullivan and other honchos got so drunk they stripped bare and jumped into the ocean at the end of a four-day partner meeting at his home in May 2012, four workers alleged in a complaint.

The firm has also been accused of sexual discrimination by taking away profitable accounts from female employees and holding them to a higher standard than their male counterparts, according to the private complaint filed with the Equal Employment Opportunity Committee.

Sullivan, who owns 16.8 percent of the company, has personally lost about $6.2 million on the stock plunge. He stood to pocket $7.5 million if he sold 404,767 shares at Friday's closing price.

CTPartners blamed the cancellation on "market conditions." In a separate statement, it denied the sexual bias allegations.

"As soon as the firm was informed of concerns by an employee earlier this year, the chief operating officer undertook a comprehensive investigation, along with external counsel," the firm said. "Based on that investigation, the company believes that the claim does not have merit."


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