Insured Group’s chief financial officer and company secretary has quit – a day after the group was publicly censured by the New Zealand Markets Disciplinary Tribunal for breaching a listing rule.
The former Lombard Group, which listed on the NZX in April following a reverse takeover by Perth-based insurer Australian Consolidated Insurance, was slapped with a $7500 fine yesterday for not having enough Kiwi directors on its board.
This morning Insured Group advised Trevor Hilton Jacobs, the group’s chief financial officer, company secretary and board director, had resigned, with immediate effect.
In February, Insured Group was granted a conditional waiver to allow the board to have just one New Zealand-resident director during a three-month period following shareholder approval of the reverse listing proposal.
This was agreed to on March 10 and on April 13, two of the three directors resigned to be replaced by four Australian directors leaving Bill Jeffries as the only New Zealand resident on the board.
However, three months later when the waiver expired, no further New Zealand resident directors had been appointed.
On July 8, NZX Market Supervision confirmed with the company no other New Zealand directors had been appointed and then advised the company was in breach of listing rules.
On July 12, INS appointed Daniel O’Leary to the board to resolve the breach.
Following an investigation the New Zealand Markets Disciplinary Tribunal yesterday imposed a $7500 penalty against the company and ordered it to pay its costs and expenses.
Insured Group’s reverse takeover of Lombard Group, the parent of failed Lombard Finance, unfolded as the Securities Commission launched civil proceedings against four former Lombard Finance directors.
One of the directors facing charges is former justice minister and leading Treaty of Waitangi claims negotiator Sir Douglas Graham.
The Securities Commission has also issued civil proceedings under the Securities Act against Michael Reeves, Bill Jeffries and Lawrence Bryant
Georgina Bond
Thu, 07 Oct 2010