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03 April 2025

Corporate Espionage Scandal Unfolds Between Rippling And Deel

A former employee admits to spying for Deel, implicating top executives in a major scandal.

A Major Corporate Espionage Scandal Unfolds Between Rippling And Deel

The alleged Deel spy admits to passing along company secrets.

In a dramatic turn of events, the corporate world is reeling from a scandal involving two San Francisco-based HR tech giants, Rippling and Deel. The saga revolves around Keith O’Brien, a former employee of Rippling, who confessed to spying for Deel, implicating top executives in a brazen corporate espionage scheme.

On April 2, 2025, Rippling publicly released O’Brien's sworn affidavit, revealing the intricate details of his covert activities. O’Brien, who served as a global payment compliance manager at Rippling’s Dublin office, admitted to being recruited by Deel’s founder and CEO Alex Bouaziz. He claimed Bouaziz offered him €5,000 a month to gather confidential information about Rippling, a rival valued at over $12 billion.

"Alex told me he ‘had an idea.’ He suggested that I remain at Rippling and become a ‘spy’ for Deel, and I recall him specifically mentioning James Bond," O’Brien stated in his affidavit. This admission has sent shockwaves through the HR tech industry, raising questions about ethical practices in corporate competition.

The espionage operation reportedly began in early 2024 when O’Brien, after failing to secure a job at Deel, connected with Bouaziz over LinkedIn. O’Brien later launched a payroll consulting business and informed Deel of his intentions to leave Rippling. Instead of supporting his transition, Bouaziz allegedly proposed the spying arrangement.

O’Brien's role involved accessing Rippling's internal systems, including Slack and Google Drive, to extract sensitive information. He communicated with Bouaziz through the secure messaging app Telegram, sending screenshots and recordings of confidential data. O’Brien stated that he provided insights into Rippling’s payroll strategies and expansion efforts, which were of particular interest to Deel.

In a striking detail, O’Brien described how payments for his services were made via cryptocurrency to avoid detection. His first payment was $6,000 wired from the account of Deel's COO, Dan Westgarth's wife, and subsequent payments were made in Ethereum. O’Brien recounted, "When it was time for me to be paid, I would send a picture of a watch to the payment chat, and Philippe would say ‘send that watch to London.’” Philippe Bouaziz, Alex's father and Deel’s CFO, was also implicated as being heavily involved in orchestrating the scheme.

Rippling's legal counsel, Alex Spiro, emphasized the gravity of the situation, stating, "The evidence in this case is undeniable. The highest levels of Deel’s leadership are implicated in a brazen corporate espionage scheme, and they will be held accountable." The lawsuit filed by Rippling against Deel accuses the company of violating the Racketeer Influenced and Corrupt Organizations (RICO) Act, misappropriation of trade secrets, and unfair competition.

The plot thickened when Rippling’s corporate security team suspected a mole within their ranks. They initiated a trap by creating a fictitious Slack channel named "d-defectors," designed to bait the spy. O’Brien, unaware of the ruse, searched for the channel and was subsequently confronted by a lawyer with a court order to search his devices.

On March 14, 2025, O’Brien attempted to erase evidence of his activities by smashing his phone with an axe and disposing of it in his mother-in-law’s house. His actions were a desperate attempt to hide the traces of his espionage. However, he later realized that some of the screen recordings he had taken were backed up to his iCloud account.

In the wake of his confrontation, O’Brien received alarming advice from Deel representatives, suggesting he and his family flee to Dubai to avoid legal repercussions. "They suggested flying my family and me to Dubai that night, saying ‘we all need a holiday,’" he recalled. This revelation adds an alarming layer to the already outrageous narrative.

Ultimately, O’Brien decided to come clean after receiving a message from a friend saying, "the truth will set you free." His decision to cooperate with authorities marks a significant turning point in this unfolding drama.

As the legal battle escalates, both companies continue to publicly deny any wrongdoing. Deel has stated through a spokesperson, "We deny all legal wrongdoing and look forward to asserting our counterclaims." Meanwhile, Rippling's CEO Parker Conrad has been vocal on social media, posting screenshots of O’Brien's affidavit and calling out Deel's leadership for their alleged involvement in the espionage scheme.

This incident serves as a stark reminder of the lengths to which companies may go to gain a competitive edge in an increasingly cutthroat industry. With both Rippling and Deel valued at over $10 billion, the stakes are high, and the implications of this scandal could resonate throughout the tech sector.

The fallout from this corporate espionage case will likely shape the future of both companies and the broader landscape of HR technology. As the legal proceedings unfold, industry observers will be watching closely to see how this dramatic tale of ambition, deceit, and corporate rivalry plays out.

In a world where business practices are under greater scrutiny than ever before, this scandal may prompt a reevaluation of ethical standards in corporate competition. As the saying goes, "the truth will set you free," but for those involved in this saga, it may also lead to significant consequences.