New York, NY- American Apparel CEO Dov Charney has faced at least nine sexual harassment complaints over the past few years. While his behavior seemed to be tolerated for some time, last Wednesday, the company’s board voted to fire him as the CEO and President

When the story initially broke, rumor was he was ousted for misappropriation of funds, but the New York Post learned Charney was sacked over allegations related to a 2011 sexual harassment complaint filed by one of his former employees Irene Morales.

According to the Post, the American Apparel Board learned that Charney allowed one of his employees in Los Angeles to build a blog that was meant to appear as though it was Morales’ and posted nude photos of her. On the blog, the creator defamed and continued to harass the young woman.

Morales filed her lawsuit against Charney in 2011 after she accused him of making her his sex slave for the eight months she worked for the clothing company known for its racy ads. But the case got complicated when allegations surfaced that Morales sent Charney nude photos with raunchy come-ons.

A court tossed out  Morales’ original suit but the Post reported their source said she and American Apparel were in negotiations to settle the case for six figures, a much smaller amount that the $260 million she sought in her original lawsuit.

American Apparel co-chairman Allen Mayer spoke with the Post and without divulging details about Charney’s dismissal said, “We have heard for years, allegations and rumors in newspaper stories that were not sufficient to take action. But what came to our attention was not allegations and rumors but established fact.”

In March, the board learned of Charney’s intention to allow his employee to post the nude photos of Morales and launched an investigation into this behavior. Not only did they find he intended to allow his employee to harass Morales, the board also found Charney used company funds to purchase airfare for friends and family and used company apartments for personal use. They determined Charney is a liability to the company and decided to fire him.

Charney, who started the company thirty years ago is expected to challenge the board’s decision. He was offered the chance to step down with $4 million dollars in pay, but if he refused the board assured him he would be fired.

Allegations of sexual harassment needed to be taken seriously by a company’s owner. If the owner is the perpetrator, then someone in the company has the legal obligation to investigate any sexual harassment allegations otherwise they may be facing off with a sexual harassment attorney and paying out a large sum to the victims.

If you’ve been sexually harassed and your employer is not taking your concerns seriously or refuses to punish your harasser, you need to contact a sexual harassment attorney, to see if you are eligible for compensation and tell you what steps you need to take.