A woman is suing the founder of the former Leo’s Stereo chain, alleging she was vastly underpaid for hours worked caring for his elderly wife, that he assured her she could improve her work conditions if she slept with him and that he wrongfully fired her in September.
Aurice Veloso’s Los Angeles Superior Court lawsuit allegations against Leo David include wrongful termination, sex discrimination and sexual harassment. She seeks unspecified compensatory and punitive damages as well as payment for the purchase of a home and for costs associated with becoming a registered nurse and later a doctor.
David could not be immediately reached for comment on the suit brought Thursday.
David made his fortune as owner of Leo’s Stereo, which at its peak was a chain of 45 consumer electronics stores offering home audio equipment and car stereos and speakers. The company was hurt by the economy as well as competition from large national chains and filed for bankruptcy in 1991.
David claims to have cash assets of $50 million and real estate holdings, a private jet and other holdings worth many more millions of dollars, according to the suit.
“David easily disclosed these facts to many young women he sought to impress or even to strangers…,” the suit states.
Along with the Los Angeles residence David shared with his late wife, Ruth David, he also maintained dwelling places at the Balboa Yacht Club, the Palm Valley Country Club in Palm Desert, a Wilshire Marquis penthouse, a yacht and a private jet, the suit states.
“To accent his wealth and status among his acquaintances and associates … David informed others that his nemesis is real estate tycoon (and former Clippers owner) Donald Sterling,” the suit states.
Veloso, a certified medical assistant, was hired in December 2009 to care for Ruth David, whose physical and mental abilities declined to the point she eventually needed 24-hour assistance before she died in August 2020 at age 98, the suit states.
In February 2011, David changed Veloso’s work status to state she was a customer service employee of XCVI , a clothing manufacturer and retailer owned by David, even as she continued being his wife’s caregiver, the suit states. David’s work demands for Veloso increased over time, but her pay did not, the suit alleges.
“She often worked around the clock for many days straight,” the suit states.
David, obese at more than 200 pounds, also required Veloso to assist him using the restroom and tend to some of his hygiene needs, the suit states.
When Veloso complained about not being paid for overtime, David said the plaintiff, “You have to be thankful you have this job, you’re a poor girl from the jungle,” the suit states.
While in the presence of his guests, David often made “offensive and disgusting comments” about Veloso “for his sick pleasure to feel more powerful,” according to the suit, which further alleges David falsely accused the plaintiff of having sex with one of his business associates.
David frequently propositioned Veloso and demanded that she sleep in his bed after they watched the late night news, the suit states, telling her that, “All my employees sleep with me,” the suit states.
David also assured Veloso that she could keep her job if the plaintiff brought him “some young girls,” the suit states. When Veloso’s two young nieces visited from Brazil, David “wined and dine” the two young women, who were both 23 years old, the suit states. He also offered the nieces thousands of dollars to sleep with him, leaving both “appalled and disgusted,” according to the suit.
David promised Veloso that if she slept with him, her working conditions would “vastly improve, ” the suit states. He also said that if she continued working for him, he would help her buy a home and pay for her education costs to become a registered nurse and later a doctor, the suit states. He also offered her a 2019 Lincoln Nautilus, the suit states.
“(Veloso) remained in David’s employ in reliance of all his promises,” the suit states.
However, David fired Veloso on Sept. 14 and the XCVI CEO pressured her to sign a termination agreement and agree not to pursue any claims against him in exchange for title to the Lincoln SUV, which David had earlier told her was her birthday present, the suit states.
Veloso has experienced emotional distress and suffered a substantial loss in income since being fired, the suit states.