Bloomfield Hills businessman Richard Gabrys, who is a director of Jackson-based CMS Energy and also of Massey Energy, is being targeted for removal from the Massey board by an investment group arguing that as a member of Massey’s Safety, Environmental and Public Policy Committee he is responsible for the company’s poor safety compliance record.
On April 5 explosion at Massey’s Upper Big Branch mine in West Virginia killed 29 miners.
CtW Investment Group is asking the shareholders of Massey Energy to vote against Richard Gabrys, and the other two directors up for election, at the mining company’s annual shareholders meeting on May 18
The group charges that Massey has a company-wide record of serious worker safety violations, that the recent West Virginia mine blast was preventable, and that in addition to killing people it destroyed $1.1 billion in shareholder value.
Because Gabrys sits on the board Governance Committee, he is responsible for the company’s poor governance practices, CtW claims.
“Massey’s alarming record of regulatory non-compliance and corporate governance failures make a clear immediate case for shareholder action to remove these directors,” said William Patterson, Executive Director of the CtW Investment Group.
According to CtW, in the past three years, four directors have resigned from Massey’s board – two explicitly citing the company’s poor environmental and safety record.