9th Jul 2018 09:03
LONDON (Alliance News) - Stobart Group Ltd, the operator of London Southend Airport, said on Saturday that its former chief executive had been re-elected and then immediately dismissed.
A majority of shareholders, 51%, voted Andrew Tinkler back onto the board at the company's annual general meeting on Friday, the results of which were delayed until Saturday evening. Tinkler's re-election and his subsequent dismissal were announced within Stobart's Saturday AGM results.
In its Saturday statement, Stobart noted that Tinkler's election was passed by the required majority but justified its decision to remove him from the board once again.
"The board maintains the view that...given the seriousness of his breach of fiduciary duty and the impending court cases against him, it would not be in the best interests of the company for him to act as a director," said Stobart Chairman Iain Ferguson.
The Stobart board currently consists of: Chairman Iain Ferguson; Chief Executive Warwick Brady; Senior Independent Director Andrew Wood; and Non-Executive Director John Coombs.
"The board will now immediately start the important process of uniting shareholders and stakeholders...Andrew Tinkler will not be part of this process - the board has taken the decision again to dismiss him, following the passing of his resolution to be elected as a director of the company," said Ferguson.
Undeterred by the turmoil, shares in Stobart were up 2.1% at 233.50 pence on Monday.
"We note that the board has yet again shown contempt for shareholders' wishes," a Tinkler spokesman told the Daily Mail on Sunday.
This was echoed in a statement by Stobart fund manager Neil Woodford who told the newspaper that the board had exhibited "truly appalling behaviour".
Tinkler stepped down as chief executive last year but remained on the board. He was removed altogether after accusations of "subverting the company for his own interests" and attempting to cash GBP30 million worth of shares, the Daily Mail said.
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