Towergate announces that the High Court proceedings initiated in March 2015 between Arthur J Gallagher, David Ross and others have been settled enabling Towergate to focus its full attention on successfully growing its business.
As part of the settlement, Towergate has agreed to pay £4 million in August 2015 and £4 million in April 2016 for cessation of all litigation proceedings. As a result a prolonged period of uncertainty for the firm has been averted with Arthur J Gallagher agreeing to the early release of David Ross, who will join the firm on 1 November 2015 as Chief Executive Officer* and Adrian Brown on 14 September 2015. The parties will not be commenting any further on these matters.
Scott Egan, interim Chief Executive Officer, will leave Towergate on 14 September to become Group Chief Financial Officer of RSA Insurance Group Plc at which time Adrian Brown will take up the reins of Chief Executive Officer* for a six week period until David joins, when he will take up the position of Chief Operating Officer.
Over the past few months the Towergate leadership team has been strengthened by the arrival of Janice Deakin as Retail Broking Director and Mark Mugge as Chief Financial Officer and Sarah Dalgarno joins as Chief Risk Officer* on 4 September.
Commenting today, Chairman John Tiner said: “I am very pleased that a settlement has been agreed between a number of incoming executives and Gallagher, bringing much needed clarity to the management of the Towergate business. With all of these appointments alongside our existing leaders we will have an outstanding executive team, whom I am confident will lead the business to sustained success in the future. I am very grateful to Scott for everything he has achieved at Towergate over the last four years. He successfully steered the business through the financial restructuring, galvanised our people during a vulnerable period and oversaw some major changes to the business. His commitment to Towergate has been exemplary. We wish Scott all the best in the next phase of his career.”
* Subject to usual regulatory approvals