19.04.04

ITV shareholders look set to vent their anger today at the three former Carlton directors who authorised the controversial £15 million payment to the broadcaster’s ousted chairman designate Michael Green.

Reports suggest that up to 40% of shareholders in the newly merged company could vote against the re-election of the directors who approved the pay-off which saw Green pocket £13.2 million in shares and £1.8 million in cash.

Rebel shareholders look unlikely to gain the 51% majority needed to block the re-election of John McGrath, Etienne de Villiers and Sir Brian Pitman. However, a sizable protest at ITV’s first annual general meeting later today could hasten their departure from the broadcaster.

Green was ousted as chairman designate of ITV last October by a group of investors led by Anthony Bolton of Fidelity. However, details of his pay-off and a further £12 million of payments to other former executives only emerged last month to the fury of shareholders.

Sir Brian Pitman, the most senior former Carlton director, visited shareholders to explain why the broadcaster approved the payment, which hee argued was compensation for loss of office and was far less than he was entitled to under the terms of his implied contract (see Former Carlton Directors Could Be Ousted From ITV Board).

Sources close to Carlton claimed at the time that Green, who did not have a formal contract with the broadcaster, would have taken legal action against the newly merged entity to recover the money had it not been paid.

ITV’s recently appointed