Access CEO legal battle with former board ends
More than a year after Access Financial Services’ directors and its CEO entered a legal tussle over spending on refurbishment of the company’s head office building at Half Way Tree Road, all lawsuits have been dropped.
The move was expected following the buyout of Mayberry’s stake in Access by Proven Investments Limited last December.
On Tuesday, May 26, the microlender notified the Jamaica Stock Exchange that the board took the decision to discontinue the legal action that was brought against Marcus James, Nenan Ltd, Renew Ltd and Neville James, the CEO’s father.
“The decision was taken after the CEO Marcus James agreed that he would discontinue the suits that he had filed against the company and former directors of Access Financial Services Limited,” said the advisory.
James had initiated litigation against then company directors Brian Goldson, Christopher Berry and Gary Peart as well as Mayberry West Indies Limited in April of 2014. He sought an injunction against the board’s decision to strip him of his responsibilities as CEO, although not his title.
Last August, the Supreme Court ruled that James’ managerial authority be re-instated, having been taken over by the board in May.
Access’s board had subsequently filed a $33 million lawsuit against James and two companies - Renew Limited, the leaseholder of the building which serves as Access Financial's headquarters, and Nenan Limited, which owns the property - alleging that funds used to renovate the building were spent by James without approval by the board, to the detriment of Access.
In December, Proven Investment Limited bought Mayberry’s shares in Access. Gary Peart, Brian Goldson, Christopher Berry and Maureen Vernon subsequently resigned from the board, leaving Marcus James, Neville James and Peter McConnell as directors.
Christopher Williams, Johann Heaven, Charmaine Boyd-Walker and Rex James were later appointed to the board. Peart was replaced by Sherri Murray as company secretary.