The board of directors at listed technology holding group, 4Sight have announced the resignation of its chairman of the audit and risk committee, Geoffrey Carter with immediate effect.
“Mr Carter has resigned due to the untenable situation at a major subsidiary level, which has led to such subsidiary executives sending a variety of emails containing, inter alia, false accusations and also looking to reconstitute the board as separately announced,” 4Sight said in a statement.
4Sight Holdings Subsidiaries operate within three distinct business clusters, including platform systems; mining, manufacturing, energy & chemicals; and telecommunications & media.
Carter said his position “is being compromised to a point of no return, where serious issues of financial irregularities have occurred”.
4Sight took the unusual step of publishing some of Carter’s comments, as rationale for his resignation, penned as part of an email exchange.
Carter communicated as follows:
“The lengthy diatribe below is delusional in content, incorrect in law and in my view equates to “Trumpism strategy” – attack is the best form of defence and rule by division. As for the latest barrage of emails it is becoming incomprehensible, apparently personal and diabolical.
“I feel deeply sorry and concerned that the board and specifically Vincent and Gary are embroiled with various subsidiaries regarding belligerent breaches in corporate governance, ill-disciplined financial transgressions and the continuous disagreements as to the interpretation to certain clauses in the Sale of Shares Agreement.
This all raises pertinent statutory and regulatory questions in relation to the JSE Limited.
“As chairperson of the Audit and Risk Committee I am further of the view that my position is being compromised to a point of no return, where serious issues of financial irregularities have occurred, yet no consequences, except an all-out battle of egos and clash of characters. I have never experienced such hostility on any board of directors that I have been privileged to serve on – never.
“I am therefore unwilling to serve and provide my services under these circumstances.”
4Sight said it has made the JSE aware of the current situation with certain subsidiaries and the challenges facing the board.
“The resignation of Mr Carter is deeply regretted and he has served the board in an ethical, constructive and professional manner from before the original listing of the company,” it said.
Market commentator, Wayne McCurrie, of First National Bank- Wealth and Investments, took to social media to express his surprise by the announcement.
Must read the sens announcement from 4sight regarding director resignation. I have not seen something like this before
— Wayne McCurrie (@WayneMcCurrie) October 7, 2019