Whitefish philanthropist Goguen denies sexual abuse allegations

Whitefish philanthropist Michael Goguen has been fired as a partner at Sequoia Capital following allegations that he sexually and emotionally abused a woman for more than 13 years and then refused to pay the woman an agreed-upon $40 million to keep her quiet about the abuse.

According to the complaint filed March 8 in California’s San Mateo County court, Goguen signed a settlement to pay the plaintiff, Amber Laurel Baptiste, four installments of $10 million each “for the horrors she suffered at his hands.” After an initial payment of $10 million, the complaint alleges, Goguen refused to honor the agreement. 

Goguen denied the allegation in a statement sent to the Pilot on Saturday and said his attorney will file a cross-complaint against the plaintiff alleging extortion.

“These horrific allegations against me come at the end of a 10+ year romantic relationship that ended badly,” Goguen stated. “Not surprisingly, the complaint is filled with every horrible buzzword you could throw at someone in today’s society to destroy their reputation.”

“Unfortunately anyone can make horrific allegations about anyone else that they have an axe to grind with, especially after a long relationship ends badly,” Goguen added in a separate email to the Pilot. “Being successful and high profile can make you a target for the worst kind of threats or reputation damage in such a situation.”

“Since court filings are protected by legal privilege, the most despicable things can be said about someone in a court filing without fear of being sued for defamation. But what ultimately matters is the evidence.”

He said the cross-complaint to be filed Monday morning will contain “an enormous amount of evidence, including Ms. Baptiste’s e-mails and text messages that span many years.”  

“Those messages show that she pursued me romantically, repeatedly professed her love, respect and affection for me, include consistent and multi-year statements about my kind and compassionate interactions and treatment of her, as well as her ultimate demands for money after things turned sour.”

Goguen lives part-time in his sprawling estate at Two Bear Ranch on the west shore of Whitefish Lake.  

A prominent philanthropist in the Flathead, Goguen has helped bankroll the Whitefish Trail effort, the Two Bear Air rescue helicopter service, and he was a key contributor to building the North Valley Food Bank’s new facility. He owns Casey’s Bar in downtown Whitefish and recently purchased the former North Valley Hospital property on Highway 93 South.

He earned his wealth as a venture capitalist at California-based Sequoia Capital. He is no longer listed as a partner with the company.

“We understand the allegations about Michael Goguen are unproven and unrelated to Sequoia. Still, we decided his departure was appropriate,” Sequoia posted on its Twitter account March 12.

Goguen says the lawsuit has no connection to Sequoia. 

"My departure from there allows me to focus with full force on clearing my name and vigorously pursuing justice," Goguen said.

The lawsuit, filed by Los Angeles attorney Patricia Glaser, alleges the plaintiff, Baptiste, had been the victim of human trafficking since she was 15 years old. She was brought to the U.S. in 2001 and sold as a dancer to a strip club, the suit states, where Goguen first met her.

Baptiste claims that Goguen promised that if she would go out with him, he would help her break free of the human traffickers and he would protect her from them, the compliant states.

The complaint alleges Baptiste “submitted to Mr. Goguen’s constant sexual abuse,” relying on that promise. Baptiste alleges that over the course of 13 years — in which Goguen reportedly went through three marriages and fathered multiple children — she was subjected to countless hours of sexual and verbal abuse, and “demeaning” sexual rituals. In one alleged incident, the complaint states, Goguen left Baptiste alone, bleeding on the floor of a hotel room of a foreign country.

The complaint describes Goguen as “a worse predator than the human traffickers.”

The complaint also accuses Goguen of infecting Baptiste with Human Papillomavirus (HPV), putting her at risk of various cancers.

After confronting Goguen about the sexually transmitted disease, the complaint alleges, Baptiste says Goguen agreed to pay her expenses as compensation for the past abuse. The complaint says Goguen paid those expenses for a year until mid-2013 when he refused to make anymore payments. 

At that point, the complaint states, Baptiste prepared to sue Goguen for “the years of physical abuse, emotional trauma, and damage to her health.”

According to the complaint, when Goguen learned he was being sued, he forced Baptiste to fire her attorney and then used his own legal team to draft the $40 million agreement to keep Baptiste quiet about the alleged ongoing abuse. 

Following an initial payment in May of 2014, the complaint states, Goguen refused to make the second payment in December, “purporting to rescind the contract, and claiming the Settlement Agreement was null and void procured under extortion.”

Baptiste is asking the court to enforce the settlement agreement.