Ruling on Otter Gold shares will help GPG

By Geoff Senescall

Guinness Peat Group's grip on Otter Gold has been strengthened by a stock exchange ruling preventing directors of the local miner from voting a crucial 10 per cent share-holding block.

This is a further blow to the mining empire of Tony Radford, coming after a recent exchange ruling stopping the Sydney accountant from controlling a 20 per cent parcel in New Zealand Oil and Gas.

But with Sir Ron Brierley's investment vehicle breathing down its neck, Otter said it would fight the ruling stopping Mr Radford (and other directors of the company) from voting the 5.2 million shares in the Employee Share Ownership Plan.

It said it had legal advice indicating that the exchange might have acted outside its jurisdiction in imposing the restriction on the employee shares.

Philippe Leloir, of the exchange's market surveillance panel, which investigated the matter, said last night: "We are confident we are right."

Speaking from Sydney, Sir Ron launched a stinging attack on the various complex structures set up by Mr Radford to protect his mining interests.

"The stock exchange announcement should only be a formality as it is so obvious."

Even with the 10 per cent Mr Radford only controls 23 per cent of Otter.