By Ezrah Kashumbusha.
NAIROBI, March 25, 2024 | Bharat Thakrar, the former CEO of Scangroup, has filed a suit against the UK-based parent company WPP PIC and its subsidiary WPP Scangroup, as well as its directors, in a Nairobi Court. Thakrar alleges loss of reputation and emotional distress stemming from his suspension from the company he founded.
Thakrar, who holds a 10.49% stake in WPP Scangroup, has also brought a lawsuit against the advertising conglomerate for the alleged loss of a significant revenue opportunity through his children’s company, where he served as a consultant. The damages sought amount to £24 million (Kshs. 4.3 Billion).
In his affidavit, Thakrar seeks a permanent injunction to prevent the defendants and their agents from further publishing defamatory statements against him. He also demands an unqualified retraction of the allegations of gross misconduct leveled against him.
The crux of Thakrar’s case lies in the claim that WPP interfered unlawfully with his contractual relations and induced a breach of contract between him and WPP Scangroup. He accuses WPP PIC and WPP of breaching their duty of care by causing him financial loss, damage to reputation, and invasion of privacy, considering his status as a founder shareholder and former CEO of the company.
The lawsuit names directors including Pratul Shah and Richard Omwela, holding them liable for failing in their fiduciary duties and negligently allowing WPP to interfere with the internal affairs of WPP Scangroup. Thakrar alleges that the investigation process was improperly managed, with Andrea Harris, the Group Chief Counsel of WPP, taking a leading role despite the board’s appointment to manage the process.
Furthermore, Thakrar points out the discrepancy in treatment between himself and the Chief Finance Officer during the investigation, suggesting racial bias and neo-colonialist practices, which he argues are contrary to the Kenyan Constitution’s Article 27.
The events leading to Thakrar’s suit began in February 2024 when the Board of Directors of WPP Scangroup suspended both Thakrar and the Chief Finance Officer, Satyabrata Das, to allow for an investigation into allegations of gross misconduct and possible offenses in their roles as senior executives.
