Keith Hellawell, the embattled chairman of Sports Direct International PLC (LON:SPD) was re-elected after a general meeting today but only because of backing again from the controversial company’s founder Mike Ashley.
Hellawell’s re-appointment was opposed by a majority of the retailer's independent shareholders, with the 54% of the votes cast opposing him unchanged from the number achieved at its annual general meeting in September.
But his re-election was a foregone conclusion because he had the support of Newcastle United owner Ashley, who owns 55% of the group and took over as its chief executive at the end of September after incumbent Dave Forsey stepped aside.
READ: Sports Direct profits slump …
Investors have blamed former top policemen Hellawell for a string of management and governance failures at the sportswear group, and he also only kept his job at the September meeting with the help of Ashley's majority control.
Hellawell, who faced another ballot under new rules designed to give shareholders a bigger say, has pledged to drive improvement at the company but it looks like the investors have not been persuaded by his words.
However, billionaire Ashley said after the vote today: ”Keith has my full backing and will be continuing in his role on the basis that he has the unanimous support of the board."
He added: "I note that many of those who voted against Keith have acknowledged that we have made positive progress since the AGM."
Hellawell said in September he had offered to resign, but the board had persuaded him to stay to oversee improvements in working practices and independent scrutiny.
Sports Direct was condemned by lawmakers last year for its treatment of workers at its warehouse in Derbyshire.
Early last month the firm posted a 57% slump in first half profits, battered by the fall in the value of the pound after June’s Brexit vote.