4 Jun 2014

NZX censures, fines Steel & Tube

3:30 pm on 4 June 2014

Steel & Tube has been fined $12,000 and publicly censured by the the NZX disciplinary tribunal for several breaches of the exchange's listing rules

The tribunal says most of the matters are minor but the company's failure to offer its managing director, Dave Taylor, for re-election at the November 2009 annual meeting was a serious matter.

The tribunal says any breach of the corporate governance provisions of the NZX rules are a serious matter because the rules are vital to the integrity of the market and to give investors confidence that directors have been appointed to represent shareholders' interests.

It says such breaches can bring the NZX and the market into disrepute.

Mr Taylor was appointed chief executive in July 2009 and was appointed to the board in October 2009. His appointment to the board wasn't put to the vote until last year's annual meeting.

The other breaches involve failing to announce the resignation of Mark Winnard, who was the northern distribution general manager, in June last year and the failure to announce changes of the company's registered address in December 2012 and April 2013.

The NZX only became aware of these matters in January this year.

Steel & Tube's chairman, Sir John Anderson, says the NZX wouldn't have discovered the breaches on its own and that he believes somebody with an axe to grind laid a complaint.

Sir John says he regards the matter as a minor distraction.