Russian and Swedish shareholders in mobile operator Turkcell have failed to oust the company's chairman at an extraordinary meeting. TeliaSonera and Altimo proposed a vote to remove Turkcell chairman Colin Williams for allegedly favoring Turkish businessman Mehmet Karamehmet's Cukurova Holding, Turkcell's controlling shareholder. However, the proposed vote was rejected as an item on the AGM's agenda. Turkcell said the item was rejected by government commissioners under the provisions of Turkish Commercial Law Article 369 (items not appearing on a previously announced AGM agenda cannot be discussed). As a result, Turkcell Holding, through which TeliaSonera and Altimo have a 51 percent stake in the company, declined to vote on the other items on the agenda. Sonera Holding, which has a 13.07 percent stake in Turkcell, voted against approval of Turkcell's accounts for 2010, as well as the release of the statutory auditors and their replacement, and the board's dividend proposal. As a result none of the measures on the agenda were approved and the dividend will not be paid out in May as planned. Turkcell said its chairman and CEO had started talks to try and resolve the dispute, and in the meantime the management will continue in office.
