We now have a lot more information about a dispute between Mr Ward and his fellow board members.
The cost of hosting the EGM is the fault of the eight shareholders who issued the S249D notice, not Mr Ward. We don't know how many shareholders want him removed - he has every right to fight to stay on.
Resigning would have been the easy option. I probably would have if I was in his situation, but Mr Ward is made of sterner stuff. It is safe to assume that Mr Ward has engaged lawyers at his own expense, and I doubt this is cheap (see the originating notice announcement on March 14th). Some posters seem to think Mr Ward's motives are purely for his own self interest. I do not see how raising these Corporate Governance concerns and incurring legal fees is in his personal interest. The only motivation I can think of is that he believes he is carrying out his duties as a Director to act in the interests of shareholders.
I find it an absolutely amazing coincidence that eight shareholders, seven of whom have never met Mr Ward choose to file a S249 notice at a time when the rest of the board happen to have asked for Mr Ward's resignation. I think it would be helpful if one or more of the eight shareholders were to let shareholders know their reasons for issuing the S249 notice, but somehow Kaching 68 I don't think that is going happen.
The board has given its reasons for recommending shareholders vote in favour of the resolution at the end of the Activities update issued on March 13th. I'll just quote the last sentence of their reasons for voting Mr Ward out:
"The Board considers a three-person board to be appropriate for the Company at this stage, and in light of the appointments and contributions made by Ms McGuire and Mr Perrot, the Board recommends that shareholders vote in favour of the resolution to remove Mr Ward as a director."
Why not just let Mr Ward see out his term? I see limited downside to keeping Mr Ward on as a Director - I want him to stay on the board.
IDA Price at posting:
8.0¢ Sentiment: Hold Disclosure: Held
