Rangers directors win power battle

  • Last Updated: December 19 2013, 16:07 GMT

The Rangers board have won their power struggle after all five directors were re-elected and their four opponents failed in their bid to be appointed.

Paul Murray, Malcolm Murray, Alex Wilson and Scott Murdoch
Paul Murray, Malcolm Murray, Alex Wilson and Scott Murdoch

The outcome of the votes was announced in a statement to the London Stock Exchange following a stormy annual general meeting at Ibrox.

Finance director Brian Stockbridge received 65.3 per cent backing from shareholders while his four colleagues all secured more than three-quarters of the support.

The four so-called requisitioners - Paul Murray, Malcolm Murray, Alex Wilson and Scott Murdoch - all polled close to 30 per cent of the shareholder strength.

The election - organised on a one-vote-per-share basis - came after a long-running, public and often bitter dispute between directors and the requisitioners, who had to go to the Court of Session in Edinburgh, Scotland's highest civil court, to force Rangers to include their proposed appointments in the AGM agenda.

They stated their motivation was concerns over corporate governance and the club's finances, which showed a £14.4million operating loss.

But three recent additions to the board - chairman David Somers, chief executive Graham Wallace and non-executive director Norman Crighton - appear to have convinced several influential investors to retain the status quo.

Even Stockbridge, whose unpopularity among the fans was evident at the AGM, secured his place after agreeing to pay back a £200,000 bonus in return for the support of the club's biggest shareholder, Laxey Partners, who were among the institutions to reverse their position in recent weeks.

In a statement, Somers said: "We are pleased that the board, with its focus on corporate governance, prudent financial management and strategic commercial development, has been decisively re-appointed by a high turnout of shareholders at the AGM."

Wallace, who garnered most support with a landslide 85.5 per cent vote, added: "The board sought a clear and decisive mandate from shareholders to provide a platform for stability and is pleased that the voting has provided this.

"The board recognises that improved engagement with supporters is a major area of focus and is committed to reviewing how the club engages with the wider supporter base.

"We now require a period of stability in order to take the business forward and I encourage everyone with the best interest of Rangers at heart to support fully the new board in developing the club and growing shareholder value."

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