Sam Jonah's head on the line

The Weekly Insight in a front-page story, reports that a shareholder in Ashanti Goldfields Company (AGC), has called for the resignation of Mr Sam Jonah, the company's chief executive, for admitting being 'reckless' over AGC's use of derivatives.

The company, the paper says, issued equity to banks to escape liability for margin calls created by derivatives. The shareholder, Andy Pegge, director and principal at Laxey Investors, an Isle of Man investment company with a small holding in Ashanti, is said to have indicated that he would canvass shareholder opinion before deciding on his next line of action against Mr Sam Jonah. He is quoted as saying, "we believe that the Board of Ashanti has demonstrated an extreme inability to create value for the shareholder. It is our opinion that Sam Jonah should resign". He questioned how Mr Sam Jonah can go on the record and confess to being reckless. "I think it is time for someone to come in and create value for shareholders" he is quoted as saying.