Marsh Supermarkets Inc. says it is being audited by the Internal Revenue Service over former CEO Don E. Marsh's use of company funds and the corporate jet.
The grocery chain filed a lawsuit against the former executive on March 25 in Hamilton Superior Court saying it was under IRS investigation over Marsh's "misbehavior."
The lawsuit accuses Marsh of spending tens of thousands of dollars for personal use.
It also says Marsh and allowed vendors to provide him and his family with perks including trips to the Olympics, Wimbledon and the Grammy Awards.
It says he tried to hide his use of the money by giving assistants lavish gifts and severance packages.
Marsh issued a statement through an attorney saying he was disappointed by what he called "extreme misrepresentations."