Laurence Mellman, chief operating officer at WPP's Voluntarily United Group of Creative Agencies sub-division, confirmed to Media that the parent company of MDK is seeking to take a strong stance against the agency's former principals.
His comments have drawn a sharp rebuttal from ex-MDK Thailand chief Danai Chanchaochai, who is launching a new agency called DC Consultants and Marketing Communication (Media, 24 January).
Said Mellman: "We are looking at whether these individuals are in breach of employment contracts, specifically in relation to the issue of whether they solicited MDK clients for the new venture and whether there are any connections between Bhum PR, a firm that he and his ex-employees were linked with by the local press, and this current company, DC Consultants."
"Even after my resignation, I declined all the offers proposed by WPP to lead a regional role, (with) substantial equity and a profit-sharing scheme," responded Danai.
"I would like to make it clear and stress that if any organisation or individual attempts to make any kind of negative statements against me, I will be left with no alternative but to place the matter in the hands of my solicitors so as to protect my rights under the laws of the Kingdom of Thailand.
"It is clear that such statements are made so as to discredit not just myself, but also that of the entity and staff that I am working with."
Mellman also added that legal action against MDK founder Michael De Kretser and former Singapore chief Michael Rose is "ongoing".
"We will defend it all the way," responded Rose, who now heads his own agency in Singapore. "What they don't realise is that if they want to go down this path, then every single client will be called to give evidence."
"You can't force clients to stay, and the staff went because they saw an opportunity and because they did not have any reassurance about their jobs," said an industry source. "It is counterproductive in a tiny market."
