KEY POINTS:
SYDNEY - Three directors of James Hardie Industries - including chairwoman Meredith Hellicar - have resigned from the construction company's board, after the Australian corporations watchdog last week said it would pursue civil action against them.
Non-executive directors Michael Brown and Michael Gillfillan have also resigned.
James Hardie said it had regretfully accepted the resignations.
Acting chairman John Barr said the company acknowledged the contributions of the three, especially in helping finalise an asbestos compensation funding proposal.
The proposal was approved by shareholders on February 7.
"The board acknowledges that these three directors have put the best interests of the company ahead of their own personal circumstances in deciding to remove any conflict of interest by bringing forward their resignations," Mr Barr said.
"All three have made invaluable contributions to the company, but I must single out Meredith Hellicar for special thanks for her role as the Chairman of James Hardie Industries NV during the negotiations on the asbestos compensation settlement.
"Meredith worked incredibly hard, at great personal cost, to gain the equitable conclusion we have just reached for all stakeholders and we owe her a debt of gratitude for that," he said.
The resignations bring forward by some months the planned departures from the James Hardie Board of each of the three directors.
When Ms Hellicar and Mr Gillfillan were re-elected to the board last September they each said they would resign during their current three-year term.
Michael Brown announced his plans for departure within three years when he was re-elected in September 2005.
In a letter to the company dated today, Ms Hellicar said she had appreciated the company's support after the Australian Securities and Investments Commission (ASIC) last week began proceedings against her and others.
"Although we had anticipated that my retirement might take place several months from now, in light of last week's developments and the resulting potential for perceived conflict, I feel it is best that I resign from the supervisory board of JHINV at the earliest opportunity and preferably with immediate effect," she wrote.
"I am immensely proud of our asbestos settlement and confident of the company's future success and strength the calibre of the board to lead the company into its next phase."
Separate letters to the board from the other two directors were identical in content and expressed similar sentiments to Ms Hellicar's.
"I resign confident that, with the recent addition of several new directors, I leave the supervisory board in good shape to govern the company," Mr Brown and Mr Gillfillan wrote separately.
- AAP
