STOB17 May 2019 16:35
Stobart Former CEO Tinkler Ordered To Pay 55% Of Company's Costs
Fri, 17th May 2019 15:46
LONDON (Alliance News) - Stobart Group Ltd said Friday that former Chief Executive Andrew Tinkler was ordered to pay 55% of the company's legal costs after losing a court battle against the firm.
Back in February, the UK High Court ruled the company's removal of Tinkler in both June and July was lawful and valid.
The court found Tinkler acted in breach of his duties by criticising its management and seeking the removal of Chair Iain Ferguson, sharing confidential information with Edinburgh Woollen Mill owner Philip Day, and orchestrating a petition to remove Ferguson.
Also, Stobart's board decision to immediately remove Tinkler as a director the day after shareholders voted for him to be re-elected in July at the annual general meeting was judged as valid.
In May 2018, Tinkler, then executive director, said he would be voting against the re-election of Iain Ferguson as chair at Stobart's annual general meeting.
In response, Stobart in mid-June fired Tinkler and said it would issue legal proceedings against him.
Furthermore on Wednesday, the Court of Appeal handed down a judgement related to proceedings brought in June 2018 by Tinkler against certain Stobart directors alleging defamation and malicious falsehood.
The court unanimously found that the words complained of were not sufficiently defamatory to give rise to an inference of serious harm. The case continues.
Shares in the aviation, energy and civil engineering firm were up 1.5% at 122.20 pence on Friday.
By Elena Cherubini; elenacherubini@alliancenews.com
Copyright 2019 Alliance News Limited. All Rights Reserved.
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