Post
by Libertarian666 » Fri Dec 11, 2015 6:56 pm
I just saw a notice from Fidelity that said that GTU's trustees have been replaced, effective immediately, by a board selected by a Sprott entity. Here's the relevant part of the announcement:
'GTU (US$)) announced today the removal of Brian E. Felske, Glenn C. Fox, Bruce D. Heagle, Ian M.T. McAvity, Michael A. Parente and Jason Schwandt as trustees of GoldTrust and the appointment of Marc Faber, James R. Fox, Sharon Ranson, John Wilson and Rosemary Zigrossi (the "Appointed Trustees") as trustees of GoldTrust. The removal and appointment of trustees was made pursuant to a written resolution of Sprott Asset Management Gold Bid LP, as the holder of powers of attorney from unitholders owning approximately 55.11% of the outstanding units of GoldTrust. The Appointed Trustees, in addition to J.C. Stefan Spicer, who was nominated as a trustee by Central Gold Managers Inc., the administrator of GoldTrust, shall remain trustees of GoldTrust until the next annual meeting of GoldTrust or until such trustees cease to hold office prior thereto.'
I find it very hard to believe that the unitholders realized that they were giving Sprott powers of attorney that authorized that. I also find it hard to believe that the "former trustees" are going to take this lying down, especially since I'm pretty sure that they got a court to tell Sprott they couldn't do that, as it violates Canadian security laws.
It's also not mentioned on the GTU website. I wish I had seen this earlier today so I could contact GTU and ask them what is going on.