Offer To The CEO

470 Lu Corporation Board Meeting - Part 11

Wednesday, continued …

Hou Yi paused for dramatic effect "Tell me why you should remain as CEO?"

"I am head of the main branch of the Lu family and therefore should be the CEO of the company."

Anna, leaned over and whispered, "Can I have the final folder please."

Hou Yi reached in to the briefcase and pulled out the final folder handing it to Anna.She opened it up "CEO Lu do you not know the terms of the appointment of the CEO of the company at present."

"You have no ability to say anything here.You handed over your proxy, now shut up."

Hou Yi said "Actually CEO Lu, as this is a legal matter and my wife is qualified to speak on this."

"Forget it."

Calmly Anna said "I do not give damn, this is what I am going to say what I need to say.CEO Lu, you are only CEO because you were appointed by your grandfather before he died.His will makes it clear that the CEO can be changed, if the majority of the shareholders by a motion require it.It also sets out, for at least the next thirty of so years how the CEO is to be appointed."

"Any male adult member of the Lu family can be considered provided that they are not serving a term of more than three years imprisonment or a ban of that length from being involved with the company.Given your son\'s ban that means that any appointment, if the majority of shareholders demand your removal is only temporary until your son serves his ban, and then the question of the permanent CEO can be decided."

Taking a breath, Anna then continued still as calm as possible."No position is certain, and you cannot guarantee that the majority of shareholders will not act.The consequences of the decision would be, you cease to control all but the three percent of the shares you hold until your grandchild is born, and the new CEO whether permanent or temporary controls the voting rights of the company."

"Here is a copy of the will I mentioned previously with this in it as probated in Victoria, along with the translation.While the translation provides the details of what is to happen, I would say that it is not a totally accurate translation, the level of accuracy is sufficient for the Registrar of Probate in Victoria where a reseal was granted."Starting to hand out copies Anna said "I am sorry I do not have enough copies though."

CEO Lu was in stunned silence, these two had done all their work, and had his position teetering on a fine edge.

For the members of the Lu family who were reading the will, they all were stunned.The b*stard had been able to keep all the terms of the will secret, insisting that the Will provided that he had to be CEO or they would lose their shares to him.They were all ready to lynch him.

Meanwhile CEO Yang, was surprised at the conditions of the will.While he was willing to cooperate, with Hou Yi the situation was different now.He thought the shares would all go to CEO Lu, but now it would be a battle as to who became temporary CEO, as in the end, Lu Jinhu would end up in that position.

From what he remembered, despite playing dumb, and his recent actions he was the brightest of the rest of the family and would want to succeed.The others, were only out for money.Mmmm, what to do.He however knew that he would not go back on the word he had given Hou Yi, as that would impact his business reputation.

Following on from his wife Hou Yi, now went in for the kill "I amgoing to move a shareholders motion that the current CEO of Lu Corporation be removed from his position, and that an externally appointed committee interview all male members of the Lu Family for appointment as the temporary CEO until such time as Mr Lu Jinhu serves his court imposed ban.At that time, the same externally appointed committee re-interview all eligible members of the Lu Corporation for the appointment of the permanent new CEO."

CEO Yang then spoke "I support that motion.CEO Lu, your attitude today gives me no confidence that this crisis will be handled properly, and in the end, protecting Lu Corporation has to be prioritised over your ego."