Former Core Gold Inc. CEO Keith Piggott accused the company's board of removing him in retaliation for his opposition to a proposed merger with Titan Minerals Ltd., while the company recently accused him of misappropriating funds.
In a March 21 release, Piggott claimed company directors and advisers had "explicitly threatened to terminate" him for cause unless he agreed to vote in favor of the Titan merger.
"I brought to the board a less dilutive, shareholder-friendly proposal sourced and agreed as a result of the go-shop opportunity, a provision included as a condition of my earlier approval," Piggott said. "As soon as the reality of a less dilutive proposal actually materialized the board sabotaged the alternative and sacked me for trumped up reasons."
The company's March 19 response to shareholder inquiries said Piggott had been terminated after being put on notice in late 2018 for incurring debt and breaching contracts in Ecuador without notifying the board. The company alleged Piggott had misappropriated C$50,000 and leaked confidential information related to the Titan Minerals deal.
Core Gold and Titan Minerals agreed March 12 to enter into exclusive takeover talks over the merger while terminating a 60-day go-shop period and increasing the break fee to C$3 million from C$500,000. The previous day, Core Gold terminated the executive for cause, with Mark Bailey taking over the position in an interim role.