Alex A Molinaroli Affair Allegations Fact-checked (2024)
Originally Syndicated on June 14, 2024 @ 6:32 am
Alex A Molinaroli, CEO of the firm Johnson Controls Inc., has had a contentious two years. He was fined $1 million for having an affair with a consultant, went through a contentious and public divorce, and is now responding to questions about why he provided millions to a man convicted of conducting a $50 million Ponzi scam.
Meanwhile, Alex A Molinaroli has labored to shepherd the $43 billion corporation through a major reorganization, which includes spinning off nearly half of its operations into a new company.
About Alex A Molinaroli’s Affair and His Wife
According to Bloomberg, Alex A Molinaroli told his wife about his romance with Ihle in late May.
Alex A Molinaroli filed for divorce after discovering her husband’s infidelity with a business consultant. Alex A Molinaroli admitted using a baseball bat to tear up her residence at a court hearing about the incident. A court transcript further recalls her as claiming, “I had my gun, and I shot a mirror and a TV.”
Despite ruling that Molinaroli’s contact with the consultant did not constitute a conflict of interest, the Johnson Controls board of directors terminated her contract. It lowered Molinaroli’s bonus pay by 20%, or approximately $1 million, in a filing with the Securities and Exchange Commission, arguing he violated the law by failing to report the relationship sooner.
CEO Alex A Molinaroli, and Kristin Ihle
Lichter & Ihle has been sacked as a result of Kristin Ihle, a Partner at the firm, and Johnson Controls’ CEO, Alex A Molinaroli’s adulterous relationship. Molinaroli, the company’s CEO, will continue to perform his present tasks. Lichter & Ihle has long-standing business partnerships with Johnson Controls.
Johnson Controls is a technology and industrial company formed in 1885. It creates products, services, and solutions that improve the energy and operational efficiency of buildings, automotive batteries, electronics, and interior auto systems. The business employs almost 170,000 people worldwide, with 1,300 offices located in over 150 countries.
Johnson Controls has had a long-standing relationship with Lichter & Ihle, a consultancy firm based in the United States. Lichter & Ihle specializes in organizational development and personnel management, among other things.
Johnson Controls’ Statement on the Alex A. Molinaroli Incident
The long-standing collaboration between the two companies came under scrutiny after Johnson Controls CEO and Chairman Alex A Molinaroli acknowledged to his family in May that he had an affair with Kristin Ihle, Principal at Lichter & Ihle. As a result, the consulting firm was dismissed.
A spokesman for the automotive supplier claims that “management chose to terminate the consultancy firm” to avoid any perceptions or potential future conflicts.
According to Johnson Controls, Alex A Molinaroli will continue to serve as CEO, President, and Chairman, positions he took in October 2013 after a 30-year career with the company, with “the full backing of the board.” Even though Alex A Molinaroli kept his job, the incident had a negative personal influence on him.
Alex A Molinaroli’s Association with Joseph Zada
Alex A Molinaroli has portrayed himself as a victim of a scammer. On Monday, he told the Associated Press that there is no conflict between running a firm with 130,000 employees and making personal financial blunders, such as losing millions in a fraud.
According to evidence published last week by the Milwaukee Journal-Sentinel, Molinaroli’s link with Joseph Zada, who was convicted of running a Ponzi scheme on September 3, was revealed in divorce filings and court documents from a Florida federal trial.
Zada was convicted guilty of a ten-year scam that defrauded multiple investors, including Sergei Fedorov, a former NHL hockey player.
Since then, Alex A Molinaroli has rejected or attempted to resolve ties indicated in court papers by a prosecutor: that Zada lived rent-free in a Michigan property owned by Molinaroli, that Alex A Molinaroli supported Zada’s defense, and that he promised to pay $20 million in restitution on Zada’s behalf.
Alex A. Molinaroli’s Response to the Joseph Zada Scandal
Alex A Molinaroli has recently been under fire for his ties to Joseph Zada, a convicted fraudster.
According to Molinaroli, he met Zada in 2006 through his then-stepson, John Shealey, who is now a Zada investor. Prosecutors believe Zada lied to victims about his connections to Saudi royalty and how he intended to use these contacts to earn handsomely from oil investments.
Following the newspaper’s remark that Alex A Molinaroli was unaware of how much money he had invested with Zada, the businessman claimed on Monday that bankruptcy papers showed Zada had admitted to owing him approximately $2.5 million. He stated that Johnson Controls had not paid him.
According to Molinaroli, “the loans I gave him moved from investments to paying for defense.” However, he stated that “I provided no restitution,” and that he wanted to ensure that he was paid back personally.
Zada did dwell in a home owned by Molinaroli, but without paying rent. “I bought the house. It was heading into foreclosure, which was a fantastic chance to recoup some of my losses. “It was his home,” Alex A Molinaroli explained. “I might have rented it out, but I didn’t. I will sell it as soon as the market returns at the appropriate time.”
According to the divorce settlement, Alex A Molinaroli is entitled to any payments from his loan to Zada.
Conclusion
In the last two years, Johnson Controls Inc. CEO Alex A Molinaroli has faced severe personal and professional challenges. He had a public divorce, lost a $1 million bonus for having an affair with a consultant, and is currently being investigated for his ties to Joseph Zada, a fraudster convicted of running a Ponzi scheme.
The issue surrounding Molinaroli’s work and private relations demonstrates the importance of honesty and integrity among corporate executives. It is yet unclear how Johnson Controls’ shareholders and board of directors will react to these issues, and whether Alex A Molinaroli will regain their trust in his abilities to lead the firm.
