SandRidge shareholder calls for inquiry, suspension of CEO Tom Ward
SandRidge Energy Inc. shareholder Mount Kellett Capital Management wants CEO Tom Ward suspended while outside investigators look into allegations against him and a trust run by his son.
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.
Photoview all photos
NewsOK Related Articles
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 investigates 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 20 cents, or 3 percent, Thursday to $6.99 a share.
Another SandRidge shareholder, TPG-Axon Capital, has raised allegations of “front-running” by Ward and his son as it pushes for new management at the company, but the company maintains it has done nothing wrong.
“SandRidge has disclosed related-party transactions in the company's public filings, as appropriate,” spokesman Greg Dewey said Thursday.
Business Photo Galleriesview all
- 19883Oklahoma medical examiner reports cause of deaths in Grand Lake boat crash
- 16750Oklahoma City Thunder: Amnesty Kendrick Perkins?
- 12000Rx drug bills sent to Oklahoma governor
- 11023Rockets guard Patrick Beverley bombarded with hateful Tweets after Thunder get eliminated
- 8434Report: OSU blocking Wes Lunt from transferring to the SEC, Big 12 and Southern Miss
- 8422Tulsa man tells police he smashed woman's head with machete in self-defense
- 7521Oklahoma football: Sooners get pair of commitments