March 26, 2009

The South Financial Group shareholders: agreement good for corporate governance

Shareholders have filed a lawsuit alleging that The South Financial Group, former CEO Mack Whittle, and the Board of Directors quickened Whittle’s retirement so that his $17 million payout wouldn’t hinder the bank’s ability to receive federal bailout funds. A judge is currently reviewing a proposed agreement that will allow Whittle to keep most of his retirement pay but require more corporate governance for the bank in the future. Motley Rice serves as counsel for the plaintiffs.

Click here to read the article featured in the Charleston Regional Business Journal.