KANSAS CITY, MISSOURI, U.S. — It is being widely reported that the influential investor advisory firm Institutional Shareholder Services (ISS) has called on Hong Kong-based Noble Group to make major changes to its audit committee. This comes after renewed attacks by Muddy Waters and claims of improper accounting by Iceberg Research. Noble mines, ships and finances iron ore, coal and agricultural commodities including grain, coffee, sugar and palm oil.
"In light of the allegations made by Iceberg, it is imperative that the company's audit committee be comprised entirely of non-executive directors, chaired by a director who is not overcommitted so as to help restore investor confidence in the company's auditing and financial reporting practices," ISS said in a report.
ISS called for removing Richard Elman, group executive chairman and Noble’s biggest shareholder. China Investment Corp, Templeton Investment, Eastspring Investments, Orbis Investment and INVESCO cumulatively own 30% of Noble published data shows.
The ISS report was issued this month ahead of Noble's annual shareholders' meeting due in Singapore on April 17.