London’s High Court permits Aman Group’s board to remove CEO
LONDON, England - In the latest round of court action regarding the super-luxury hotel chain Aman Group, Mrs Justice Rose sitting in the High Court in London upheld a decision made by the board that t
LONDON, England – In the latest round of court action regarding the super-luxury hotel chain Aman Group, Mrs Justice Rose sitting in the High Court in London upheld a decision made by the board that their CEO, Mr Adrian Zecha, ceases to be CEO with effect from 1 August 2014.
Mr Zecha is replaced by Mr Olivier Jolivet who takes on the position of Interim CEO.
The replacement of Mr Zecha and the appointment of an interim CEO is something that Aman Group’s majority shareholder, represented by Mr Vladislav Doronin, has been proposing for some time to ensure the future stability of the company.
The wider conduct of Mr Amanat will soon come under detailed scrutiny in New York where a claim has been brought in the New York County Supreme Court by Mr Doronin over alleged fraudulent misrepresentation. In those proceedings it is alleged, amongst other things, that Mr Amanat artificially inflated his financial resources to convince Mr Doronin to invest millions in the Aman Group.
The Court in London also rejected Mr Amanat’s attempt to have the full trial of these matters expedited, taking the view that this case was at a very early stage with 4 sets of proceedings needing to be considered.
The Court held over to a further board meeting the question of additional investment from shareholders. The Aman Group looks forward to implementing its investment program which will further its market-leading position. In the meantime, Mr Amanat’s company has been ordered by the Court to provide evidence of its assets.
Mr Doronin stated: “This is a great win for the Aman Group and I am delighted by the decision to permit us to replace Mr Zecha. Whilst it is only a small step in rectifying what has gone wrong, it is one more step towards getting the Aman Group to a point where it has an effective, talented, and forward looking management that can build on the past and deliver outstanding results in the future.
Clearly there are many issues to be resolved. My legal action in New York against Mr Amanat is part of this. There should be no doubt that I will do all that is necessary to protect the Aman Group and expose any fraudulent behaviour that may threaten the Group’s reputation and stability.”