Directors resign after UTV Media removes chairman

Three directors of UTV Media plc have left the board of the company.

Directors resign after UTV Media removes chairman

Three directors of UTV Media plc have left the board of the company.

John B. McGuckian, former Chairman, and Kevin Lagan, Senior Independent Director, resigned as non-executive directors of UTV Media plc with immediate effect after the board voted to have Mr McGuckian removed as chairman of the company this morning.

A statement from Mr McGuckian and Mr Lagan said: "In so acting to remove Mr McGuckian as chairman, the board proceeded contrary to the UK Corporate Governance Code. For that reason, Mr McGuckian and Mr Lagan considered that they had no choice but to resign as non-executive directors of UTV."

The pair said that the majority of non-executive directors were opposed to the removal of Mr McGuckian as chairman.

In a statement released today, the company said a majority of the board's members no longer considered it appropriate for Mr McGuckian to continue in the role.

The decision was taken due to his close association with TVC Holdings plc, a Dublin-based investment company and a major shareholder of UTV - which the board felt compromised his independence.

TVC also announced that Shane Reihill, executive chairman of TVC, has resigned as a non-executive director of UTV Media plc with immediate effect.

TVC has an 18% shareholding in UTV.

A non-executive director of the company, Helen Kirkpatrick, has taken up the post of interim chair.

Mr Reihill said the resignation of Mr McGuckian and Mr Lagan followed "their corporate governance concerns".

His statement continued: "These concerns include the actions taken today by the executive directors and a minority of the non-executive directors of UTV, who voted to have Mr McGuckian removed as chairman of the company. The majority of non-executive directors were opposed to the removal of Mr. McGuckian as chairman.

"The actions taken by the executive directors and a minority of non-executive directors to have the chairman removed from his position without following due process were contrary to the UK Corporate Governance Code."

For that reason, Mr Reihill's statement concluded, Mr Reihill considered that he had no choice but to resign from the Board of UTV.

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