| Wed 26 Feb 2003, 17:23 | | Durban Roodepoort Deep, Limited - Former Drd Direc |
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Durban Roodepoort Deep, Limited - Former DRD director admits breach of fiduciary
duty.
Durban Roodepoort Deep, Limited
(Incorporated in the Republic of South Africa)
(Registration number 1895/000926/06)
(Share code: DUR)
(ISIN: ZAE 000015079)
(ARBN number 086 277 616)
(NASDAQ Trading Symbol: DROOY)
("DRD" or "the company")
Former DRD director admits breach of fiduciary duty.
Nick Goodwin, a former non-executive director of Durban Roodepoort Deep, Limited
(DRD), today (26 February 2003) admitted passing legally privileged information
to Roger Kebble, former Chairman of DRD, who resigned last year.
DRD was advised by Moss Morris, attorneys acting for Roger Kebble, that
confidential papers presented to DRD`s Audit Committee came into their client`s
possession from Nick Goodwin. At the time, Goodwin was serving as a non-
executive director on DRD`s Board and was a member of its Audit Committee, made
up entirely of non-executive directors.
"In the interests of sound corporate governance and transparency, and in terms
of normal practice, it is arranged that DRD`s lawyers and other advisers acting
in the recovery of funds from Kebble and others, issue status reports for the
review of our Audit Committee," said Mark Wellesley-Wood, DRD Chairman and CEO
today. "I am not a member of the Audit Committee. It has been constituted of
Rob Hume as Chairman, David Baker as a fellow non-executive director and, prior
to his resignation as a non-executive director last month, Nick Goodwin."
"I have felt, and still feel, it is important that the non-executive directors
are fully informed on the legal process we have embarked upon to recover funds
due to our shareholders. Not only were these documents covered by lawyer/client
privilege but they were confidential to DRD. Goodwin was clearly in breach of
his fiduciary duty in giving this information to Roger Kebble."
Since his resignation as a non-executive director of DRD, Goodwin has been
consulting for the company as Project Manager for the Argonaut Project. His
consulting agreement has been terminated with immediate effect.
Johannesburg
26 February 2003
Queries:
Ilja Graulich, DRD
27 11 381-7800 (w)
27 83 604-0820 (cell)
James Duncan, Russell & Associates
27 11 880-3924 (w)
27 82 892-8052 (cell)
Date: 26/02/2003 04:50:00 PM Supplied by www.sharenet.co.za
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