Two governing members of Ames-based biosciences company AgCertain Industries Inc. — one its treasurer and another a board member — are also adversaries in a Polk County lawsuit in which one has accused the other of unethical behavior, including alleged breach of contract, fraud and unjust enrichment.

Last week, a Polk County judge ruled in favor of John William “Bill” Pim, currently treasurer of AgCertain LLC, in a default judgment against John Krohn, the former president and CEO of Spotlight Innovation. In that lawsuit, Pim alleged that Krohn and a former business partner, Michael Kemery, who is currently on the board of directors of AgCertain, had used their affiliated companies to promote fraud and defrauded Pim by not paying him his contracted salary and consulting fees he had earned working for two of their companies, Spotlight Innovation and Gooi Global.

“Spotlight is merely an alter ego of Krohn in that it is undercapitalized, its finances are intermingled with his own and with other companies owned by him and Kemery, it is used to promote fraud, the corporate formalities are not followed and it is a mere sham,” Pim alleges in court documents.

In a virtual hearing held April 29, District Judge Paul Scott entered a default judgment against Krohn, after neither Krohn nor legal representation appeared for the hearing. An attorney representing Pim, Matthew Sease, told the judge that it was his understanding that Kemery is negotiating a separate settlement in the case through another attorney. Business Record Insider: See related story published in Monday’s PM Daily.

Pim declined to comment on the case following the default judgment last week. Kemery declined to comment for this article through his attorney, Brian McCormac.

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