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Magnus Energy's former MD sends demand letter over 'wrongful termination'
CATALIST-LISTED Magnus Energy Group said on Thursday that it has received a letter of demand from the lawyers representing its former managing director Charles Madhavan, "notifying the company of his claim for wrongful termination".
Magnus Energy on Monday announced that it had terminated Mr Madhavan's position with the company, effective May 26, 2018. It said then that it had done so because of "differences with management and board" and "cessation pursuant to contract".
The company also said then that it would convene an extraordinary general meeting to seek its shareholders' approval to remove Mr Madhavan as a director of the company.
"Mr Madhavan has highlighted to (Magnus Energy's) sponsor some of his personal concerns regarding some of the company's past transactions. The company is in the midst of reviewing and will be responding to the sponsor's queries," its announcement then had said.
Magnus Energy's announcement on Thursday added that Mr Madhavan's letter of demand "also contains separate allegations against the directors of the company".
"These allegations are part of queries raised by the sponsor of the company and the company is in the process of responding to sponsor's queries," it said.
It added that no legal proceedings have yet been commenced against the company at this stage, and that its board has sought independent legal advice on the basis and merits of Mr Madhavan's claim and the allegations raised, and will provide material developments as necessary.