The Council of Ministers has directed that Mr Graham Cregeen MHK be removed as a member and chairman of the Isle of Man Post Office with immediate effect.
Ministers made the direction under section 3(3) of the Statutory Boards Act 1987 at their meeting on Thursday March 24, 2016.
Speaking on behalf of the Council of Ministers, Treasury Minister Eddie Teare MHK explained: ‘The core issue is corporate governance. There are clear rules surrounding the operation of statutory boards such as the Isle of Man Post Office. The chairman of a statutory board does not have the same powers as the Minister of a Government Department and cannot overrule the majority decision of the board.
‘Unfortunately Mr Cregeen has found himself in fundamental conflict with the agreed policy of his board and rather than do the honourable thing and resign, he has continued to work to undermine that policy, making his position untenable.’
Mr Teare added: ‘It is not acceptable for the leadership of this important public service to be paralysed by dysfunctionality, and the Council of Ministers had no alternative but to seek a change in the interests of integrity, coherence and good governance.’
The April sitting of Tynwald will be asked to support a recommendation by the Council of Ministers that Mr Ray Harmer MHK be appointed as chairman of the Isle of Man Post Office. Mr Cregeen had held the position since March 2014.