Proxy advisor CGI Glass Lewis has recommended that shareholders vote against director Peter Marriott to step down from the Westpac board, as the aftermath of the child exploiter scandal continues to unravel.
The recommendation was made against Director Marriot due in part to the fact that he had been on the board since the payments from the scandal began in 2013, in addition to relevant expertise.
«Due to the length of his tenure and his banking background […] his accountability for these matters should be enforced [and] his reelection should not be supported,» CGI Glass Lewis said in a note seen by «Reuters».
No Need for Last Resort
Westpac’s latest move to reconcile the matter included the resignation of chief executive Brian Hartzer and early retirement of chairman Lindsay Maxsted in 2020. And in the upcoming annual general meeting, if more than a quarter of the listed company’s share against Westpac's executive pay plan, an option can be made for the entire board to be removed under Australia’s «two strike» law.
CGI Glass Lewis said it would not recommend voting against Westpac's pay plans due to the bank’s response to the latest allegations and in the event that the second strike rule is activated, it would recommend voting against the removal of the board as this is «an option of last resort».
