Brazilian flats steelmaker Usiminas said this week the removal of a board member did not affect the company nor the functioning of the steelmaker’s board.
Board member Luiz Carlos de Miranda Faria, who used to represent the steelmaker’s employees at the board, was removed this week following a request from public prosecutors, claiming he couldn’t take office as he lacked an a “unblemished reputation.”
Prosecutors also said Faria reportedly signed a deal with a local union preventing him to assume a managing position at Usiminas.
“The decision doesn’t affect the regulation functioning of Usiminas’ administration board and doesn’t demand any material fact about the conduction of its business or activities,” the steelmaker said, when requested for comment by Brazil securities exchange commission, CVM.
At the time of the prosecutors filing, Usiminas denied any wrongdoing in appointing board member Luiz Carlos de Miranda Faria.