LVMH CEO faces legal heat over surveillance of activists, denies involvement

LVMH CEO Bernard Arnault has shifted responsibility onto his late deputy for allegedly approving surveillance of leftwing activists during his much-anticipated court testimony.

During nearly three hours on the witness stand, Arnault defended the decision to settle allegations against the group for €10 million, without admitting guilt, to avoid what he called a “media circus”, Caliber.Az reports via foreign media.

He also accused François Ruffin, the leader of the activists and now a prominent leftwing MP, of using the trial for political gain.

“Mr. Ruffin is interested in showing off on my back, and unfortunately it hasn’t worked for him,” Arnault told the court on November 27.

The 75-year-old billionaire was called to testify in the trial of Bernard Squarcini, a former security contractor accused of illegally spying on Ruffin’s activist group. The alleged offences occurred between 2013 and 2016, when Squarcini, a former head of France’s intelligence services, was employed by LVMH.

The dispute has ties to broader political debates in France. Ruffin’s 2016 documentary Merci, Patron! (Thanks, Boss!) highlighted the struggles of workers laid off when an LVMH subcontractor closed a factory. The film fueled concerns within LVMH about Ruffin and his group, leading to Squarcini’s alleged role in monitoring them.

Arnault insisted that the matter was delegated to his second-in-command, Pierre Godé, who passed away in 2018. “Godé had full responsibility equal to mine… It is not for me to judge what Mr. Godé did or did not do as I was not aware,” he stated. “I had a manager who was in charge of all that, and we shouldn’t need to do the work twice.”

Squarcini has denied all charges, arguing that protecting Arnault was a matter of “national interest.”

The atmosphere in court became tense when Ruffin’s lawyers, who are part of the civil case, pressed Arnault about Squarcini’s efforts to infiltrate the activists, who had planned to confront Arnault over job losses at LVMH during the company’s 2023 annual general meeting.

Arnault, one of the world’s wealthiest individuals, contended that the economic benefits and employment created by his company far outweighed the job losses. He argued that Ruffin’s motivation stemmed from an “ideology” that always casts capitalism and corporations in a negative light.

Arnault also advised Ruffin to find a “more concise” lawyer, refused to answer questions he deemed “nonsense,” and threatened to sue another lawyer for defamation after they raised “rumours” about his private life.

“In terms of employment, I have done much more than Mr. Ruffin in parliament,” Arnault said. “He doesn’t go there very often from what I hear… Is it normal for Mr. Ruffin to mess around with justice to promote a new book or film?”

By Tamilla Hasanova