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Better opens probe into allegations tied to Vishal Garg consent bid
Better says the alleged conduct could raise questions about Garg’s fiduciary duties and has hurt its ability to maximize value of certain assets.
HousingWire reports that Better Home & Finance Holding Co. has opened an investigation into allegations connected to Vishal Garg’s consent solicitation.
The company said the probe concerns claims that Garg sought to offer Better assets or other benefits to former employees in exchange for their support in an effort to replace the board. Better added that the allegations were brought by independent counsel for a former employee, and that the former employees involved are also shareholders.
If substantiated, Better said the allegations could affect questions about Garg’s fiduciary duties as a director, and it stated the alleged conduct has reduced its ability to maximize the value of certain assets and related claims.
Garg, removed as CEO at the start of August and replaced by Daniel Lewis, is seeking to remove five directors, and he has set Oct. 2 as the new target date for submitting written consents, which was previously moved from Sept. 8 to Sept. 18. HousingWire also reports Garg said his group has consents representing more than 46% of Better’s voting power and proposed three independent director candidates, noting their inclusion would require nominations and board approval rather than automatically occurring if the solicitation succeeds.