Disgraced Newcastle duo return
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.NEWCASTLE UNITED'S little remaining credibility in the City of London was wiped away yesterday when Freddie Shepherd and Douglas Hall, the football club's disgraced shareholders, returned to the board after a nine-month absence, prompting a walk-out by three other directors.
Denis Cassidy, Newcastle's chairman, and two non-executive directors resigned after the board voted by a majority of four to three to reappoint the duo. BT Alex Brown, the City firm that acts as Newcastle's stockbroker, also stepped down.
The boardroom exodus casts doubt over Newcastle's status as a publicly listed company. The club has been in an almost permanent crisis since it floated on the stock market two years ago. During that time, nearly all the original board members have left the company.
"Minority shareholders must be punch drunk by now," said Nick Batram, a football analyst at City stockbrokers Greig Middleton. "It comes as no surprise. There have been more transfers on the board than on the playing squad."
The club has struggled on the pitch, finishing in the bottom half of the Premier League last season and losing the FA Cup Final. At the start of the current season it removed Kenny Dalglish as manager, replacing him with Ruud Gullit.
Since its flotation at a share price of 135p, Newcastle shares have steadily lost ground, although they have recently been lifted by hopes that the club might be taken over by a media group. Yesterday, the shares slipped 3p to close at 94p.
The latest row follows moves by Mr Shepherd and Mr Hall to re-elect themselves to the board of Newcastle United Plc, the holding company for the football club. The two men were forced to resign in disgrace in March, after they were exposed in the News of the World mocking the club's fans and insulting the players.
Mr Cassidy, who took over as chairman in July, acknowledged his opposition to their return to the board of the company. Instead, he agreed to reappoint them to the board of the football club, which is a subsidiary of the holding company.
Last month, however, Mr Shepherd and Mr Hall announced plans to seek re-election at the company's annual general meeting. As the two men between them control 65 per cent of the club's share capital, they could vote through any motion without opposition.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments