Crunch vote in bitter Redbus row

A CRUNCH vote on Monday to resolve the bitter boardroom feud at beleaguered internet firm Redbus Interhouse is on a knife-edge. Shareholders will cast their votes in a showdown between former chief executive Cliff Stanford and chairman John Porter - once close friends.

Stanford, co-founder of Redbus, quit in June but immediately started a campaign to try to oust Porter, son of controversial Tory politician and Tesco heiress Dame Shirley Porter. At the extraordinary general meeting, shareholders will vote on whether to keep Porter.

It is expected to be close. Porter and his camp hold about 30% of the shares. Stanford, who also has about 30%, is hoping to mobilise small shareholders to win the day.

He blames Porter for rising losses - which last year jumped 22% to £65m - and claims poor management has led to computer failures and the breakdown of financial controls. In a letter to shareholders, Stanford said: 'Porter and fellow directors Kevin Neal and Carl Fry must shoulder the responsibility for the poor state of the company. They've failed to deliver and are wasting shareholders' cash.'

Stanford, who created Britain's first internet service provider, Demon, and sold it to Scottish Media Group in 1998, wants to rejoin the board and replace Porter with Dan Wagner, creator of business information group MAID. Wagner was forced to step down from his last venture, Bright Station, last year.

For his part, Porter blames Stanford for the woes of Redbus and says his former friend was profligate in charging to the company journeys in his personal jet. Since Stanford's departure, Redbus has scrapped a three-year, £2.5m sponsorship deal with Premiership side Charlton Athletic and has sacked staff.

Porter has attacked the calling of the meeting as 'wholly inappropriate and an unnecessary and wasteful distraction for management, employees and shareholders'.