American Apparel likes to play around with sexy images in advertising that some say border on the pornographic. CEO Dov Charney has quite the reputation for encouraging sexy images of young people who look younger than their years.
Dov Charney asked his accountant to sex up the books to show to shareholders and the accountant refused. Wrong answer: The American Apparel financial guy was canned. This is the latest in a long line of American Apparel lawsuits--five sexual harassment cases have been settled or are currently in arbitration.
Roberto Hernandez says that in 2006 Mr. Dove Charney repeatedly “demanded that Mr. Hernandez pad the inventory” of the company in an effort to lure investors.