From Deseret News archives:
Ex-Neways owner under injunction
The May 25 injunction issued by U.S. District Judge Bruce S. Jenkins prohibits Thomas Mower Sr., Neways' former owner, and his two sons, Thomas Mower Jr. and Darick Mower, from using the company's product formulas, distributor lists and vendor lists to advance their new businesses, Sisel International LLC and SupraNaturals LLC.
Jenkins also ordered the Mowers to return any record of such information, including computer discs, to Neways, a cosmetics and health-supplement company that does business in more than two dozen countries.
All three companies rely on multilevel marketing to distribute personal care and nutritional products.
Neways filed a complaint May 23, accusing the Mowers of taking many of the company's trade secrets with them after selling Neways to Golden Gate Capital, a San Francisco-based equity firm, in 2006.
"They obtained a lot of money for those assets," said Neways spokesman James Watson. "It's like selling someone a car then going right on using it."
"By using those lists, they're stealing our sales force and our customers," Watson said.
Neways has already lost several distributors to the Mowers' new companies. Watson said. However, the legal battle is more about heading off future problems than retaliating.
"We respect competition," he said. "We think competition is healthy. What we don't respect is cheating."
Watson said there is a "path of evidence" indicating Thomas Mower Sr. planned to steal information even before he sold Neways or began serving a three-year prison sentence for tax evasion. The company would not disclose details about the evidence against the Mowers.
Watson called the injunction "a major win" for the company.
"It is the first solution to our problem," he said. "We are very happy the legal system is defending the integrity of our company and our agreements."
Sisel International and SupraNaturals declined comment.
Last year, Thomas E. Mower Sr. and his former wife, Leslie DeeAnn Mower, were sentenced to just under three years and just over two years, respectively, for cheating the Internal Revenue Service out of more than $1 million in taxes by failing to report the cashing of an estimated $3.2 million in overseas commission checks.
A federal jury found them guilty in March 2005 of one count of conspiracy to defraud and six counts of tax evasion.
E-mail: estuart@desnews.com
Comments
- Eminent domain in Nets arena case 9:41 a.m.
- St. Louis boxer: sport saved my life 9:31 a.m.
- A 'twittologue' with Chaffetz 9:23 a.m.
- Rebound slower than first thought 9:22 a.m.
- 'Boomerang kids' moving back in 9:18 a.m.
- H1N1 vaccines pulled in Canada 9:06 a.m.
- Stocks retreat on reports 8:58 a.m.
- TCU's success exceeds expectations 8:54 a.m.
- Obama welcomes Indian PM Singh 8:31 a.m.
- KSL: Prostitution in Utah County 8:31 a.m.
- Protests against Phoenix LDS temple
- BYU's Lamb, Jorgensen reprimanded
- Bronco, Kyle rubber match
- Real Champions
- Fans greet returning Real Salt Lake
- Inmate dead following prison fight
- Time for big matchups in WAC, MWC
- Plenty on line for rivalry game
- Utah, BYU are top choices for bowls
- RSL wins MLS Cup on penalty kicks
- Glenn Beck to enter politics?
216 - RSL wins MLS Cup on penalty kicks
198 - Palin plans tour stop in Utah
178 - Bronco, Kyle rubber match
136 - Palin's book shows she's unqualified
133 - Protests against Phoenix LDS temple
133 - BYU records with win
132 - Officer cleared in Cardall Taser case
103 - BYU cuts Women's Research Inst.
103 - Hall, Johnson matchup key
101
Associated Press Personal Finance Writer Candice Choi offers gift-giving...
reason | 7:28 a.m. Nov. 24, 2009 One cannot say that a crime is a hate...
The sky is falling, the sky is falling! At least at the moment my retirement...
"Wynn is hopeful the experience of playing in front of a packed house at TCU...
I read it as well. I really like some things about it, especially the...
If the same happened to me, or if I was paralyzed from the neck down, I hope...
What religious rights are any of you religionists being denied? The right to...
Cougar fans tend to point finger at ALL Utah fans when they see the actions...
is good to go. He is a fun player to watch, really played well against those...
I have "THE CURE" here. Here's the cure, these Butchers with butcher...
I wonder how much money they make from recyling the plastic? My beach front...


You can be the first to comment on this story.