Picture: 123RF/SOLAR SEVEN
Picture: 123RF/SOLAR SEVEN

Technology group 4Sight said on Monday its audit and risk committee chair Geoffrey Carter had resigned, saying his position had been compromised amid an apparent battle with a major subsidiary.

“Mr Carter has resigned due to the untenable situation at a major subsidiary level, which has led to such subsidiary executives sending a variety of e-mails containing, inter alia, false accusations and also looking to reconstitute the board as separately announced,” the company said.

The company, whose subsidiaries include BluESP, said in August it had received a demand for a special shareholder meeting from an investor that owns at least 5% of its shares.

In the statement on Monday, Carter said his position was being “compromised to a point of no return, where serious issues of financial irregularities have occurred, yet no consequences except an all-out battle of egos and clash of characters.”

Carter said he was unwilling to serve under such circumstances.

“The lengthy diatribe below is delusional in content, incorrect in law and in my view equates to ‘Trumpism strategy’ — attack is the best form of defence and rule by division. As for the latest barrage of e-mails it is becoming incomprehensible, apparently personal and diabolical,” Carter said.

“I feel deeply sorry and concerned that the board and specifically Vincent [Raseroka] and Gary [Lauryssen] are embroiled with various subsidiaries regarding belligerent breaches in corporate governance, ill-disciplined financial transgressions and the continuous disagreements as to the interpretation to certain clauses in the sale of shares agreement,” said Carter.

“This all raises pertinent statutory and regulatory questions in relation to the JSE Limited.”

4Sight on Monday said it regretted Carter’s resignation, and that he had served in an ethical, constructive and professional manner.

The company’s share was down 14.29% to 18c as of 10.50am on Monday, although this is not an unusually large movement for the share.

gernetzkyk@businesslive.co.za