Dismantling Ben & Jerry’s chair says Magnum aims to ‘smear’ her

The ousted chairman of Ben & Jerry’s has accused the company that owns the brand of threatening to launch a public smear campaign against her.

Anuradha Mittal, who chaired Ben & Jerry’s independent board for seven years, told the BBC that Magnum had threatened to make “defamatory statements” about her if she did not resign.

It comes amid a growing dispute between the progressive Vermont-based ice cream maker and its owners over the independence of its board of directors and its freedom to pursue its social mission.

Magnum said Mittal “no longer met the criteria to serve on the board” following an investigation commissioned by outside consultants.

In a statement on Monday, Magnum outlined changes to how the board operates, including nine-year terms for those who serve on the board.

In addition to Mittal, who said she received a letter informing her that she had been removed from the board, two other board members will also be asked to leave as a result.

It also said an audit of the Ben & Jerry’s Foundation “identified a range of significant deficiencies in financial controls, governance and other compliance policies, including conflicts of interest”.

Mittal told BBC World Business that friction between Ben & Jerry’s board and its owners was escalating over issues of the brand’s independence, social mission and integrity.

“For several years, we have resisted their overreach, including their efforts to block our efforts to speak out for human rights and peace,” she said.

The brand, also known for its playful puns in its flavor names, was owned by Unilever until earlier this month, when the homewares giant spun off its ice cream division to create Magnum Ice Cream.

Ben & Jerry’s was sold to Unilever in 2000, a deal that allowed it to retain an independent board of directors and the right to make decisions about its social mission.

This was a constant source of friction when it was owned by Unilever.

In 2021, Ben & Jerry’s declined Selling its products in Israeli-occupied areasleading Unilever to sell its Israeli business to a local licensee, Ben Cohen said in October that the company was unable to launch an ice cream, which it said “Solidarity with Palestine”.

The feud has now been inherited by Magnum, culminating in this week’s confrontation and Mittal’s ouster.

“In October this year, Unilever-Magnum executives threatened me with making defamatory statements in its upcoming prospectus if I did not resign,” Mittal said.

“At the same time, if I caved, they offered me a big position in a multi-million dollar nonprofit funded by Unilever,” she added.

She said she turned down the “inappropriate” offer.

Magnum is currently the world’s largest ice cream maker, with brands including Cornetto, Wall’s and Carte D’Or.

Mittal, founder of the Oakland Institute, a California think tank focused on human rights and development, described Magnum’s approach as a “public smear campaign” and said the accusations were baseless.

One of the company’s original founders, Jerry Greenfield, left the company in September, saying he felt the company’s social mission was being stifled. Another, Ben Cohen, Also criticized Magnum It said it was “unsuitable” to own the company.

A Magnum spokesman said in a statement that the company had taken steps to strengthen corporate governance and “reaffirm the responsibilities of the Ben & Jerry’s board of directors.”

“These actions are designed to preserve and enhance the brand’s historic social mission and preserve its fundamental integrity,” a spokesperson said.

When Ben & Jerry’s was founded in 1978, it was known for selling flavors such as Cherry Garcia, named after the Grateful Dead guitarist, Bohemian Raspberry from the Queen track, and the now-discontinued Vermont Python.

“We remain unequivocally committed to Ben & Jerry’s three-part mission – products, economics and society – and its progressive, nonpartisan values,” Magnum said in a statement.

“Ben & Jerry’s continues to advocate for a range of causes and speak out boldly for social justice, as evidenced by its social media channels.”