Photon Control Announces Transfer with Resignations, Appointments
BURNABY, British Columbia, July 1, 2016 — Optical sensor developer Photon Control Inc. has announced multiple resignations and appointments after the discovery by its board of directors of a $4.5 million transfer to Photon Control R&D Ltd., a private company with chairman David Dueck as a significant shareholder. The transfer was made without the required approval by the board, including approval of the customary documentation.
Dueck stepped down as chairman, though continues to serve as director. Christopher Weston has stepped down as president and CEO, resigned from the board and taken a new management role with the company. Michael Goldstein, deputy chairman of the board, has been appointed chairman and acting CEO.
Photon Control is also implementing additional measures to reinforce its processes including additional controls on material transactions, additional training on corporate governance, an independent internal audit of non-arms'-length interactions and the addition of more independent directors.
"This has been a regrettable financial decision and a clear breach of governance procedures," Goldstein said. "We are making the appropriate moves now to reinforce the company's governance controls. The board is committed to taking every possible action to recover the company funds as soon as possible.”
Photon Control designs, manufactures and distributes a wide range of optical sensors and instruments for use in the semiconductor, oil and gas, power, life sciences and manufacturing industries.