Registerfly files suit against ousted CEO Kevin Medina
Thursday 22nd February 2007. By Burke Hansen.
The split between the founders of Registerfly.com, the leading domain name registrar, took a tawdry turn last week, as court documents filed by John Naruszewicz and Unifiednames, the corporation that owns Registerfly.com, made some shocking allegations against ousted CEO Kevin Medina.
The complaint seeks compensatory and punitive damages, and alleges that 75,000 domain names were lost in January 2007 alone due to failure to remit registry fees. The complaint goes on to accuse Medina of using corporate accounts as private slush funds, thereby failing to maintain sufficient float to cover registry fees.
The embezzlement alleged includes tens of thousands of dollars for luxuries such as escort services, personal credit card bills and even liposuction. It also alleges that Medina used $10,000 in corporate funds per month to cover rent on a Miami Beach penthouse apartment.
Registerfly is an ICANN-approved provider of internet hosting and domain name registration services based in New Jersey that controls approximately two million domain names for 900,000 different owners. In recent weeks, the service appears to have effectively collapsed, with owners scrambling to recover domains that were not automatically renewed as agreed, or were paid for and for no apparent reason allowed to lapse well before the agreed upon expiration date.
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