Inland Homes yesterday announced that chairman Simon Bennett and its other non-executive directors Carol Duncumb and Brian Johnson had resigned.
It is looking to bring back Stephen Wicks, one of the original founders of the business, who retired as chief executive at the end of September last year.
The cryptic explanation given for all this was: “The company has become aware of certain related party issues (which may or may not fall to be treated as related party transactions under the AIM Rules) of which the board was not informed at the relevant times. The company is collating relevant details, following which a further announcement will be made.”
Former Galliard Homes chief executive Don O'Sullivan joined Inland Homes on 6th December as Stephen Wickes successor but he only lasted until 16th January. No reason was given for his departure. This news was followed nine days later by the news that financial results for the year ending 30th September 2022 were expected to show a pre-tax loss of £91.0m.
"The group has experienced an extremely disappointing year,” chairman Simon Bennett said at the time.
Although Simon Bennett has now resigned as chairman, so that the company can meet the minimum number of directors prescribed under the company's articles (which is two), he has agreed to stay a non-executive director for just two weeks while proper processes can be observed for finding a replacement. His resignation from the board will become effective on the appointment of another director to the board or at the close of business on 14th March 2023, whichever is the earlier. If no one else is in place by 14th March, the board would be comprised of just one person – chief financial officer Nishith Malde – which would be in breach of company articles and mean suspension of its shares from the AIM market on which it is listed.
“The company considers this to be an unlikely scenario,” said the statement issued on 1st March. “The board is pleased to confirm its intention to re-appoint one of the original founders and former CEO, Stephen Wicks to the board as soon as possible following due diligence checks, as to which a further announcement will be made in due course.”
Got a story? Email news@theconstructionindex.co.uk
