Applied Industrial Technologies’ Compensation Approval Plans Come Under Investigation by Private Firm

Firm claims Applied's seeking shareholder approval for compensation breaches fiduciary approval.

Faruqi & Faruqi, LLP, a national securities firm in New York City, is investigating the Board of Directors of Applied Industrial Technologies Inc. (NYS: AIT). It’s claiming potential breaches of fiduciary duties in connection with seeking shareholder approval of the compensation for the distributor’s executive officers.

\"TheDownload a Free Chapter:
The Little Black Book of Strategic Planning for Distributors

Submit your email address below to receive a chapter of Brent Grover’s new book. When you submit your email you will be signed up to receive weekly distribution news updates.

\"\"

In the SEC filing filed Sept. 7, 2012, Applied outlined its executive compensation program and noted that the program was overwhelmingly approved by shareholders last year in an advisory vote.

“We believe that our corporate governance policies, including our executive compensation program, should be responsive to shareholder concerns,” according to the filing. “This belief is reflected in a nonbinding, advisory vote that provides shareholders the opportunity to approve the named executive officers' compensation as disclosed in our proxy statement, including, among other things, our executive compensation objectives, policies, and practices. The Board has adopted an annual vote, which was our shareholders' preference as expressed at last year's annual meeting.”

Faruqi & Faruqi, LLP is a national law firm which represents investors and individuals in class action litigation.

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.