Call for Sports Direct review

The pressure on Mike Ashley to shake up corporate governance and address concerns over working practices at Sports Direct has been ramped up a notch after another shareholder group called for an independent review of how the business is run.

The Investor Forum, consisting of influential investors holding assets wor t h more than £14trillion, has urged the retailer to “undertake a wide-reaching independent review of the entire governance practices at the company”.

The unprecedented criticism by the Forum comes amid growing shareholder unrest over thepowerwieldedbyMr Ashley, whoowns55% of the group and is deputy executive chairman. And the intervention comes after it was revealed that Sports Direct’s accounts fail to disclose that international

“We still have not received appropriate commitment”

deliveries are run by Mr Ashley’s brother, John. Forum director Andy Griffiths said: “It is highly unusual for the Investor Forum to consider it necessary to make public their concerns and recommendations in this way.

“We do not take this step lightly and, whilst we welcome Sport Direct’s move to hold an open day, we still have not received an appropriate level of commitment to respond to investor concerns.”.

Sports Direct is facing calls from a growing list of investors asking for an independent review into working practices following Mr Ashley’s grilling by MPs in June.

Mr Ashley told MPs from the Business Select Committee that staff were not paid during security searches at the end of their shift, meaning they took home less than the minimum wage required by law.