Noble founder Richard Elman resigns

This follows top shareholder Goldilocks filing a lawsuit against him and the company.

Amidst troubles piling up on Noble Group Limited, founder Richard Elman, who turned the company into one of the leading traders globally, resigned as the non-executive director.

According to an announcement, Elman resigned at age 77. Before that, he stepped down as CEO by end-2009 and became Noble’s non-executive chairman.

The resignation followed top shareholder Goldilocks Investment’s filing of a lawsuit against the Noble, including Elman, for allegedly inflating the company’s assets.

According to a Bloomberg report, Goldilocks is seeking relief from Noble on behalf of shareholders, including about $169m paid to executives between 2011 and 2017, as well as any interest and damages assessed by the court, according to the lawsuit. The 72-page filing cites allegations made by long-time critic Iceberg. Goldilocks also wants a declaration from the court that the defendants breached their fiduciary duties.

In a separate statement, Noble Group Limited said it is aware of an article in Bloomberg reporting a lawsuit filed against the company. However, it has not been served with the writ and is unable to comment on the accuracy of the article.

“Nonetheless, the company believes the allegations in the lawsuit, as reported in the article, to be unfounded and intends to vigorously resist them if served. A further announcement will be made as and when this matter develops,” Noble said.