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Conflict Of Interest Causes eLong Board Resignation
August 7, 2007 |
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eLong.com (LONG), an online travel service provider in China, says David Goldhill has resigned as a member of the audit committee of the board of directors of the company effective July 30, 2007.
Goldhill served as the chair of the audit committee, indicated that his resignation was prompted by the company's advice that, as a result of his having accepted a position as the chief executive officer of a company under common control with eLong, he is no longer considered independent under NASDAQ'S Marketplace Rules, and therefore can no longer serve on the audit committee.
eLong has initiated a search to find a suitable replacement for Goldhill, and expects that the vacancy on the audit committee caused by Goldhill's resignation will be filled prior to the end of the cure period provided by NASDAQ.
On August 1, 2007, eLong says it received a letter from NASDAQ's Listing Qualifications Department stating that the company no longer complies with the requirement set forth in NASDAQ Marketplace Rule 4350 that the audit committee of a NASDAQ-listed company be composed of at least three members.
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