SandRidge shareholder calls for probe, suspension of CEO Tom Ward
BY JAY F. MARKS NewsOK.com
Thursday, January 17, 2013
OKLAHOMA CITY - One of SandRidge Energy Inc.'s largest shareholders is asking the company's board to commission an independent investigation into “serious” allegations against CEO Tom Ward.
Mount Kellett Capital Management, which called for Ward's ouster in November, said Thursday that Ward should be suspended as the company's chief executive while an independent law firm and forensic accounting company probe allegations that a trust purportedly run by Ward's son, Trent, persistently secured mineral rights from third parties and then sold them to SandRidge or other companies, often retaining a stake in future wells.
“If true, these allegations may constitute a breach of Mr. Ward's noncompete obligations to the company and ‘cause' for terminating Mr. Ward,” wrote Jonathan Fiorello, Mount Kellett's chief operating officer. “Pending completion of the investigation, Mr. Ward should be suspended from serving as chairman and chief executive officer of the company.”
Mount Kellett owns 22.2 million shares, or about 4.5 percent, of SandRidge's outstanding stock. The stock was up 13 cents in early trading Thursday to $6.92 a share.
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