Jared Lazerson, CEO of MGX Minerals (XMG.C) and a known quantity in the Vancouver resource scene, was the recipient of the briefest termination in recent memory earlier this month.
The company announced its realignment with a pre-market open release, shocking onlookers and industry insiders who undoubtedly cursed themselves for being blindsided by the news.
MGX MINERALS ANNOUNCES MANAGEMENT REALIGNMENT
MGX Minerals Inc. has provided the following corporate update. A majority of the board of directors, not including Jared Lazerson who has a disclosable interest in the matter and a requirement to abstain, has approved the immediate termination of Mr. Lazerson as chief executive officer and president of MGX.
According to Lazerson, the release was borne out of surreptitious coup attempt by two directors of MGX Minerals attempting to move a resolution to remove him as CEO.
Things went horribly wrong, and to understand how, one must first understand the mind of the turncoat.
The directors in question were Lyndon Patrick and Michael Reimann, two directors out of MGX’s four and representative of half the company’s voting power.
Their plan, assumptively, was to vote Lazerson out on the presumption that, as meeting chair, he would be unable to vote against the resolution. Even if the fourth director opposed the motion, they would still be overpowered.
Their plan was stillborne, however, as the motion was ruled out of order by the chair, and voted down regardless:
The directors were advised during the meeting by the company’s legal counsel that neither the company’s Articles nor the British Columbia Business Corporations Act necessarily prohibited Lazerson from voting on the resolution to remove him as CEO.
Depending on who is to be believed in this situation, the dissenting directors left the meeting after the motion to remove lazerson was defeated and were notified they were not able to publish material on behalf of MGX Minerals.
The mutiniers themselves recount another version of events: “Mr. Lazerson tried to rule the motion out of order, but it was duly moved, seconded and voted upon. The three directors who had the right to vote on the motion did so, and it passed.”
This culminated in a judicial ruling which “temporarily ordered that nobody can issue news releases without obtaining approval from three of the company’s four board members.”
What to do with such a public display of insubordination? Reimann should know what happens to the scurvy dogs and bilge rats who fail in their mutinies. He appears in a 1994 document as a commodore representing the Royal Vancouver Yacht Club in the Victoria-Maui sailing competition.
Commodore, if you were one of my men and failed to act accordingly, you would be lucky to walk the plank.