B.C. telecom giant Telus Communications Inc. is suing a former manager it fired in mid-August for allegedly misappropriating nearly $1.1 million, according to a lawsuit filed at BC Supreme Court.

The subsidiary of Telus Corp. (TSX:T) alleged in its Sept. 2 lawsuit that Raymond Chow, a former director of technical products and services in the company’s consumer solutions division, and his employees, had fraudulently purchased more than 2,500 items with Telus corporate credit cards, dating back to 2020.

Those purchases were not required for Telus’ business operations, but rather were for the “personal use and benefit” of Chow and his team, Telus alleged.

The alleged purchases Chow and his team made totalled $1,093,283.50, Telus said, adding that they included:

• whisky carafes and glasses
• home theatre equipment
• home theatre seating; turntables and audio equipment
• cameras
• consumer electronics
• massage guns
• gaming equipment
• large appliances (such as a refrigerator and dishwasher)
• scooters
• wearable technology

Those items were “delivered to and stored at Mr. Chow’s property and/or other residences, however beneficial ownership remained with Telus,” the company alleged.

It also alleged that Chow then “sold and disposed” of numerous items that he had acquired fraudulently.

Chow accepted Business in Vancouver‘s request to connect via LinkedIn but did not respond to BIV‘s direct messages, asking for him to send responses to Telus’ allegations.

“Chow engaged in a scheme whereby purchases made for his benefit were charged to corporate credit cards assigned to him and his employees and submitted to Telus as business expenses,” Telus said in its lawsuit.

Telus claimed that it discovered that Chow maintained and used a shared Amazon business account linked to a Telus corporate credit card that had been assigned to one of his direct reports.

“Chow directed his employees to purchase items through the Amazon business account and through other vendors using their Telus corporate credit cards,” the lawsuit said.

Telus said that Chow owed it a “duty of loyalty and fidelity” and that it is seeking a declaration that Chow breached fiduciary and contractual duties owed to Telus.

It also wants an order requiring Chow to disgorge all profits, benefits and gains obtained through his breaches of fiduciary duty.

Telus said it wants an accounting for an accurate amount of what it called “misappropriated funds,” which Chow allegedly took without authorization, and an order for tracing the amounts allegedly taken.

In addition to the alleged $1.1 million in goods that Telus has so far identified, it also wants any additional amount found to be due, following accounting and tracing.

Telus is seeking general, special, aggravated, exemplary and punitive damages plus interest and special costs due to what it said was Chow being liable for “fraud, deceit and conversion.”

None of the allegations has been tested in court.

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