AMX Exec Accused Of Corporate Espionage

By Kirsten Nelson , 4.14.2008

PARAMUS, NJ--The industry received a jolt late last month when a manufacturer rivalry escalated into a criminal accusation against an employee. Questions about corruption within the AV industry arose when news came from Crestron and its Northeast sales rep Sapphire Marketing that AMX vice president David Goldenberg had been arrested.

Following an investigation by the Bergen County, New Jersey prosecutors office, Goldenberg has been charged with unlawful access of a computer system/network-third degree, unlawful access of computer data/theft of data-second degree, and conducting an illegal wiretap-third degree.

Goldenberg joined AMX as regional sales director in June of 2007 and was later promoted to AMX vice president. He is being accused of unlawfully penetrating and downloading business intelligence from several Sapphire employees, including information about sales proposals, commission statements, pricing, sales reports, personnel records, and dealer, consultant, and end-user lists, among other private and confidential correspondence. Sapphire Marketing claims that the stolen property enabled Goldenberg to unfairly compete with manufacturers such as Crestron. "I am shocked by the corrupt sense of entitlement and indifference towards the privacy rights of Sapphire Marketing's clients and employees," said Marla Suttenberg, owner of Sapphire Marketing.

In response to the arrest, AMX president and CEO, Rashid M. Skaf released a statement: "We are surprised and stunned by this news. It is the clear and unambiguous policy of AMX that every employee act with the highest moral and ethical standards, and to obey the law in all respects. We have always stressed fair and honest competition, and in no way do we condone any unethical or unlawful behavior." According to the statement, AMX has placed Goldenberg on a leave of absence during the investigation; AMX vice president of U.S. sales Alan Stoddard will be acting in his role until further notice.