In an amended 13D filing Friday afternoon on Vitesse Semiconductor (NASDAQ:VTSS), 5.3% holder Chapman Capital demanded that the company immediately schedule a Meeting of Stockholders to elect directors. Chapman also demanded that Jim Cole, head of Vitesse's Corporate Governance Committee, immediately resign from the Board.
Robert L. Chapman, Jr., Managing Member of Chapman Capital, commented,
"In breach of the most basic tenet of corporate governance, Vitesse's beleaguered owners, in a heightened state of distress following the Company's options backdating scandal and resultant nearly two year lapse of audited financial statements, were permitted last to elect directors to their company's Board of Directors on January 24, 2006, nearly 17 months ago. Jim Cole, perplexingly still head of Vitesse's Corporate Governance Committee, despite being held responsible by major past and present owners for the Company's deep-seated problems, and who also holds a seat on Vitesse's Audit Committee that has failed to produce nearly two years of audited financials and Compensation Committee that appears to have stuffed the pockets of Mr. Cole's friends and business partners in their capacities as CEO, EVP of Finance, and Chief Financial Officer, must resign from the Board immediately."