Allan Mayer, partner and head of the Strategic Communications Division at entertainment PR powerhouse 42 West, has joined his former colleague Richard Wool in a lawsuit against their former boss, Michael Sitrick.

They allege Sitrick devalued the Sitrick Employee Stock Ownership Plan to the tune of millions of dollars.

The New York Times spoke with James J. Brosnahan Jr., who is representing Mr. Sitrick, and said the suit is “based on mistakes of fact.”

Joseph Giunta, who at the time said he was general counsel for Sitrick And Company and Michael Sitrick, told PRNewser a few weeks ago that Sitrick, “was sued by one former employee. Not a single current or former employee has joined in the suit and though he claims to have sued on behalf of the ESOP, the court has not granted him that right.”

Another angle to this latest development is that Mayer worked with Sitrick on his book, Spin.

RELATED: Los Angeles Business Journal Looking Into Sitrick Lawsuit

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Michael Sitrick, CEO of Sitrick & Company, has worked with a number of high profile clients over the years, from Halle Berry and Rush Limbaugh to Paris Hilton and the Archdiocese of Los Angeles during a sexual-abuse lawsuit.

Now, the “spin doctor of restructuring” — as the Financial Times recently called him — is being sued by a former employee and current employees for “self dealing,” and devaluing the Sitrick Employee Stock Ownership Plan.

His firm was acquired by Resources Connection, Inc. in October 2009.

The suit alleges that “of the more than $92M in cash, stock and earnouts earmarked for the ’09 acquisition of Sitrick Brinko Group by Resources Connection Inc., $87.4M went to the purchase of Sitrick’s personal goodwill and $5M went for the purchase of S&C’s assets,” reports O’Dwyer’s.

Richard Wool, who ran Sitrick and Co’s New York operations, is the lead plaintiff, although, “the suit has been filed on behalf of all the plan’s members, including some current employees,” reports Deadline.com.

“We don’t believe there is any basis to the lawsuit, if indeed one has been filed,” John A. Kober of Morgan Lewis & Bockius, Sitrick And Company’s legal counsel, said in a statement.

RELATED: Los Angeles-based Toyota dealers were about to hire Sitrick in February, before word came down from corporate headquarters advising them against the move.

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