Mar-Lees drops RICO case against former owner John Lees

Massachusetts-based Mar-Lees Seafood is voluntarily dismissing a year-old case against its former owner and CEO John Lees Jr., according to court documents released Wednesday.

In the case the company accused Lees of misleading investors about the value of the company and orchestrating a racketeering scheme to steal business for rivals and drive up costs using insider knowledge when he stayed on as CEO after the company’s sale.

Mar-Lees Seafood alleged Lees violated the federal RICO Act (Racketeering Influenced and Corrupt Organizations) by committing wire and mail fraud when he invested in and helped manage competitors, even though he was working for Mar-Lees.

NorAtlantic