Charles "Junior" Johnson, who reportedly conceived the idea for a business2business company while playing golf with gaming magnate Steve Wynn, has called it quits with PurchasePro.com, the company he founded five years ago.
In an official announcement Monday morning, the directors of the Las Vegas-based Internet company said "Junior" has resigned his positions as chairman and a member of the board.
Speaking for the company, Richard L. Clemmer, newly named CFO, said the company is looking forward to the "challenges that lie ahead."
Among those challenges are nearly a dozen class-action lawsuits filed from around the country. The suits charge the company and some of its officers with making inaccurate representations regarding its revenues.
When Johnson’s resignation was announced Monday, there was an immediate spike in PurchasePro’s stock price. The stock jumped 56 cents to $3.14 a share on the Nasdaq exchange. Later, it declined to close at $3, up 42 cents for the day.