S4A gratitude with West Brom to probe Jeremy Peace loan
Albion majority shareholders have detailed their gratitude to chief executive Ron Gourlay with the club set to open an investigation against an historic loan taken out by former owner Jeremy Peace.
Shareholders For Albion, who represent the club's 430 minority shareholders, have long since pushed for a review into the £3.7million taken out by former chairman Peace in 2014.
They had previously seen requests into an independent investigation knocked back but the process was given the green light by Gourlay in May. It has now been confirmed, having agreed a terms of reference document, work conducted by the King's Counsel will begin in the new year and could take up to six months.
A spokesperson for the group confirmed 'positive' workings have allowed 'reasonable and objective' terms of reference ahead of the review.
"It is well documented that securing an independent investigation is something which Shareholders for Albion has pursued for a number of years," said Shareholders For Albion vice-chairman Leigh Kent.
“We are grateful to Ron Gourlay for commissioning the investigation and working positively with us to agree reasonable and objective terms of reference."
The loan now sits at beyond £5m after interest and was adopted by current majority shareholder Guochuan Lai when he bought the club from Peace in 2016.
The move has long been a source of anger for the group of minority shareholders, who own 12 per cent of the club's shares.
Albion fans have protested this season against the running of the club, including calling for answers on financial matters. Lai, who has not been present at matches, has been targeted by vocal protests.
The investigated sum of money is not related to the loan taken out by Lai himself, reported in Albion's accounts this year, in 2021. The figure of £4.95m taken out by Lai has a second repayment deadline approaching, on December 31.
