BREAKING: Project Veritas files suit against ousted founder James O'Keefe

The suit claims that "O'Keefe must be held accountable" to the organization he created.

Project Veritas, which ousted its founder James O'Keefe earlier this year, has filed a lawsuit against O'Keefe alleging financial misdoings. Veritas is a 501c(3) not-for-profit that subsists on donations. The suit was filed in New York.

"Being known as the founder of an organization does not entitle that person to run amok and put his own interests ahead of the organization," the suit claims, alleging that O'Keefe "failed in his duties" to Veritas, thereby "causing it serious and significant damage."

The suit claims that "O'Keefe must be held accountable" to the organization he created, which continues to live on without him, though many investigative journalists have left and O'Keefe has started a new company, called OMG, or O'Keefe Media Group. He stated at the time of that founding that it would behoove him to have his name in the company.

Veritas didn't stop at allegations against O'Keefe, however, stating that his right-hand man RC Maxwell and Anthony Iatropoulos "breached their own contracts" by going to work with O'Keefe after he was forced out of his own company.

The suit claims that O'Keefe violated his contract by not keeping confidential that information he knew about Veritas' business and investigative operations, that he behaved "unprofessionally during team meetings," and has "targeted female employees with mean-spirited comments about personal situations like pregnancies."

Veritas claims O'Keefe had "strained" relationships with donors, that employees saw "obscene" messages between O'Keefe and others when they access his phone, and that there was "financial misconduct," including using his business card for personal expenses.

The complaint alleges that O’Keefe "breached his fiduciary duties" to Project Veritas by forming OMG "while still employed by Plaintiffs," and by soliciting employees and donors to join OMG.

They allege that O’Keefe failed to return donor lists and contact information as well as equipment, and that the use of this property enacted "actual losses and irreparable harm" on Project Veritas.

Project Veritas’ complaint alleges that O’Keefe, under his employment agreement, was to "devote his full working time and attention and best efforts to the performance of his job," and that despite being on indefinite paid time off, the creation of OMG violated the agreement.

The organization seeks to declare that O’Keefe, Iatropoulos, and Maxwell broke their employment agreements, that O’Keefe misappropriated Project Veritas’ trade secrets, that O’Keefe is liable to compensate Project Veritas for the costs of defense and liabilities "arising from actions taken by him or his errors or omissions," and that the court issue a preliminary injunction blocking O’Leefe and OMG from soliciting Project Veritas’ donors, employees, and contractors, disparaging the company, failing to return the company’s property, and using their confidential information.

Project Veritas is seeking a jury trial for the case.

This is a breaking story and will be updated.
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