Muscat: The managing director and vice-chairman of Galfar Engineering and Contracting has resigned from the board of directors of the company, following an emergency board meeting on Tuesday.
The company's board has been under tremendous pressure to come out with a clear succession plan, following two of its senior employees convicted by an Omani court for bribery charges.
He also resigned from his position as the managing director of the company since it was linked to his board membership.
"In the light of the court decision against two senior members of the management and for the best interest of the stakeholders, the managing director has voluntary resigned from the membership of the board of directors," the company said in a disclosure statement posted on MSM website. The board has taken the decisions to ensure that the company's operations and businesses are not affected.
Galfar board also decided to appoint KPMG, an independent international audit firm to establish the accountability of the recent events, review the existing policies and procedures of the company and identify any gaps in the company's internal controls to ensure that all weaknesses, if any, in the system are rectified. The audit firm will also review policies and procedures for the code of conduct, including 'whistle blowing' to ensure compliance and train management staff for the implementation of the code of conduct in the business dealings.
The board also communicated to the shareholders, employees, bankers, suppliers, government and non-governmental clients that effective controls are in place for the good governance and well-being of the company and its stakeholders.