James Butcher chair retires after corporation red light

An assessment carried out by the housing regulator in September gave a red light for the governance of James Butcher for “failing to demonstrate effective control of the organisation”.

An employment tribunal in August also criticised chair Michael Dexter-Elisha for failing to demonstrate “reasonable” behaviour in the dismissal of an employee accused of dishonesty on expenses claims.

Tim Hammond, former director of development services at James Butcher, was suspended in December 2003 for dishonesty and gross misconduct.

But the tribunal found his dismissal was unfair and criticised Dexter-Elisha’s handling of the situation. The tribunal said: “The decision to dismiss the applicant comes outside the range of reasonable responses open to a reasonable employer. Indeed Mr Dexter-Elisha demonstrated that he is anything but a reasonable employer when chairing a disciplinary hearing. He showed a single-minded approach to the matter.”

June Bully, Dexter-Elisha’s replacement and former deputy, said: “Michael Dexter-Elisha felt that due to other commitments both here and abroad and the time needed to steer the association out of supervision, he could no longer serve as chair.

“In my capacity as chair, I will be looking at continuing and maintaining the quality service we’ve built with residents as well as completing the strategic options review which is already under way.

“I would like to confirm that in no way was Mr Dexter-Elisha’s decision to retire as chairman related to the recent tribunal,” she said.