FREQUENT board level changes surely do not augur well for certainty and continuity at the board level.
As such, the nominating committee needs to review its nominating process – in particular the proposal/selection of directors – to ensure a smooth appointment process, according to the Minority Shareholder Watch Group CEO Devanesan Evanson
“(Likewise), candidate for any board position should have adequate knowledge about the company they wish to join before accepting the position,” he told FocusM.
“In this regard, the board should be transparent in disclosing all important and relevant information to the potential directorship candidates.”
Devanesan was commenting on the rampant ‘change-of-guard’ at Inix Technologies Holdings Bhd following the stepping down of Tan Sri Mohamad Fuzi Harun, its new independent and non-executive chairman, merely five days into the job.
In a filing to Bursa Malaysia on Monday (Dec 7), Inix said the former inspector-general of police (IGP) resigned from his post “to spend more time on personal interest and on-going businesses”.
Mohamad Fuzi, 61, has succeeded Macau tycoon Wan Kuok Koi, who resigned as Inix’s chairman last Wednesday (Dec 2). Wan was appointed the group’s chairman back in August.
His successor is former YLI Holdings Bhd chairman Tan Sri Syed Mohd Yusof Syed Nasir who is also currently the non-independent non-executive director of Titijaya Land Bhd.
Syed Mohd Yusof who is popularly known as Tan Sri Jojo has vast exposure in diverse areas such as property development, construction, media, entertainment, hotel management & hospitality, food & beverage, banking and information technology.
“The company has a history of board level changes,” Devanesan pointed out. “It is both surprising and puzzling as to why Mohamad Fuzi resigned just five days into the job.”
He further questioned the lame excuse for the resignation, notably “to spend more time on personal interest and on-going businesses” which raises more questions than answers.
“Surely, the sudden need and realisation ‘to spend more time on personal interest and on-going businesses’ could not have happened within a mere five days,” he justified.
“The investor fraternity is bound to speculate on this five-day sudden resignation. Many will tend to read between the lines and speculate as to the reasons for the sudden resignation.”
At today’s market close, Inix was up 1 sen or 2.27% at 45 sen with 92.86 million shares traded, thus valuing the company at RM210 mil. – Dec 9, 2020
