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Standard Life rejects ballot petition

Date: Tue, 29 Jul 03 Analysis

LONDON, UK - UK insurer Standard Life has reportedly rejected the latest bid to turn it into a public company.

The Edinburgh life insurance company firm has confirmed that, having taken legal advice, it does not consider itself to be bound to hold a Special General Meeting on its mutual status in response to a petition submitted by retired lecturer David Stonebanks.

Mr Stonebanks claimed to have collected 2,000 signatures, thought to be twice the number required to force the company to put the issue to its members.

However, the petition looks to have foundered on strict rules governing the resolution.

Resolutions asking the company to hold a members' ballot have to be worded in such a way as to be legally binding.

Sir Brian Stewart, chairman of Standard Life, is now calling for Mr Stonebanks to ditch his campaign.

'We are naturally concerned that Mr Stonebanks' activities are disrupting the business and ask him to consider seriously what is to be gained by continuing to pursue his attempts to force a demutualisation against the clear wishes of the membership.

Independent research of our membership shows that the vast majority support our remaining mutual,' said Mr Stonebanks.

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