A 66-year-old restaurant CEO has been found by the Victorian Civil and Administrative Tribunal (VCAT) to have engaged in sexual harassment and conduct of a "predatory and grooming nature" towards a 22-year-old employee. Michael Aldemir, CEO of Spanish Doughnuts, was accused by former employee Darcy McColley of making unwelcome sexual advances and creating an intimidating, hostile, degrading, and offensive workplace between February and May 2022.

According to evidence presented to the tribunal, Aldemir allegedly made comments about Ms. McColley's appearance and smell, offered to buy her clothes and perfume, and took her on interstate work trips where more senior employees would have typically gone. He reportedly suggested they share a hotel room during a trip to the Gold Coast and asked Ms. McColley to pay for trip expenses personally to avoid creating business records that could be seen by his wife.

Ms. McColley told the tribunal that Aldemir's conduct created a workplace that was "unfavourable to Ms. McColley as a woman." She stated she felt she had no option but to resign due to the lack of a designated human resources manager to address her concerns.

The tribunal found that Aldemir's conduct would have "offended, humiliated or intimidated a reasonable person," citing his actions of isolating a young employee and organizing unnecessary one-on-one meetings.

Aldemir's defense, as presented to the tribunal, included branding Ms. McColley "an actress" and suggesting her allegations stemmed from personal issues and upbringing. VCAT member Stuart Webb described these statements as "inappropriate and distressing."

The proceedings were reportedly delayed multiple times due to Aldemir's failure to appear at hearings or submit required materials. The tribunal noted that Aldemir's delays caused Ms. McColley "an extreme exacerbation of her symptoms associated with her diagnosed anxiety disorder," describing the process as "exhausting and depleting."

VCAT determined that Aldemir failed to comply with tribunal orders without a reasonable excuse, creating an unnecessary disadvantage for Ms. McColley. The tribunal heard that Spanish Doughnuts is currently in external administration, and Aldemir had previously been declared bankrupt.

The matter is scheduled to return to the tribunal on July 29 to determine compensation and costs.