I would kill him if he went to a strip club anyway, but to pay someone $10,000 for a lap dance???
NEW YORK (AP) -- American Express is suing the CEO of a communications company for payment of $241,000 worth of disputed credit card charges at a Manhattan topless club.
American Express says in papers filed in state court that Savvis Inc. chief executive officer Robert A. McCormick was in the club Scores in October 2003 with at least three other men.
After McCormick got the $241,000 corporate credit card bill, Savvis called American Express and complained that some of the charges were fraudulent, the lawsuit says. The communications company said its chief disputed all but about $20,000, according to the lawsuit.
"We firmly believe that Mr. McCormick was the victim of fraud," said Deena Williamson, Savvis's deputy general counsel. She declined to comment further.
Lonnie Hanover, a Scores spokesman, said he had not talked to all of the employees involved with McCormick and could not say what the CEO purchased.
The lawsuit filed Wednesday against McCormick and Savvis is at least the third in the past two years involving contested credit card charges at Scores. One patron sued the club after he got a $28,000 bill and another disputed $129,000 in charges.
After a lawsuit last year, Hanover said that "high rollers" visiting Scores' "super elite Presidents' Club" spend thousands of dollars on single bottles of champagne and tip strippers as much as $10,000 for lap dances and for spending time with them.
The district attorney's office has said it is investigating alleged overcharging at Scores.
Hanover said that each time a patron spends $10,000, Scores calls the customer's credit card company to get the charges approved. Scores even fingerprints the customer and requires him to get on the telephone with a credit card representative, he said.
"We got authorization for all of the charges," Hanover said of McCormick's visit. "We followed proper procedures and documentation, and we were paid."
Court papers say American Express asked McCormick several times to provide in writing his basis for calling the charges fraudulent. McCormick failed to respond, and when he was billed again he once again objected to the charges, the lawsuit says.
American Express says McCormick finally responded in writing in September 2004, reiterating that some charges on the Scores bill were bogus, the lawsuit says.
Scores has been paid in full, American Express's court papers say, while neither Savvis nor McCormick has paid any of the charges. Failure to pay is a violation of the American Express corporate credit card agreement, court papers say.
An American Express spokeswoman, Judy Tenzer, said she had no comment.
I'm not happy with this article, it doesn't give enough information. If the club really fingerprints people and calls the credit card company, where's the documentation for that? Has the club passed the fingerprints over to the credit card company? Does Amex have documentation of the authorization calls? I want more info!!!
$241,000 stripclub tab finally settled Infamous New York stripclub 'Scores' says a lawsuit stemming from the huge bill a former telecom exec racked up there has been resolved. March 8, 2006: 5:56 PM EST
NEW YORK (CNN) - The lawsuit over a former communications executive's $241,000 tab racked up at Scores nightclub has been settled, an attorney for Scores said Wednesday.
The terms of the settlement involving Scores, American Express, Savvis Inc., and former Savvis chief executive Robert McCormick are confidential, said Donald David, who represented Scores in the settlement talks.
"All the parties involved -- except for Savvis -- have agreed to say they resolved the suit 'amicably,'" said David. "Savvis plans to send out a more extensive statement on their own."
McCormick, of Clayton, Mo., resigned from Savvis (Research) Communications Corp. after an investigation into the $241,000, which was charged to his corporate American Express card after an alleged wild night at the Manhattan strip club on Oct. 22, 2003.
Savvis and McCormick refused to pay. In court documents, McCormick said he spent up to $20,000 at Scores that night. American Express then sued Scores, Savvis and McCormick.
The settlement was reached in the past few weeks, David said.
American Express said only that all parties resolved their differences.
When they seal the results of the case...someone stipulates to it so at least one or all parties can save face. I am guessing there are a few wives out there bringing the rolling pins out of storage