Russia's CTC Media sues CEO

Broadcaster says Rodnyansky did business with a competitor

LONDON -- Russian broadcaster CTC Media said Tuesday that it has filed lawsuits in the Supreme Court of the State of New York against its former CEO and current nonexecutive board member, Alexander Rodnyansky.

The move could block Rodnyansky exercising share options worth up to $100 million, according to Russian daily paper Vedomosti.

CTC said that the board had issued notice that it no longer supported Rodnyansky's position as a nonexecutive director and that he would be voted off the board effective Feb. 10.

In a statement, Nasdaq-listed CTC said that Rodnyansky had "been involved in the business of one of the company's competitors in Russia" and had "acted against the best interests" of CTC Media.

"These activities are in breach of Mr. Rodnyansky's contractual obligations to the company and his fiduciary duties as a director of the company. CTC Media has therefore today filed civil complaints in the Supreme Court of the State of New York for the County of New York and the Delaware Chancery Court against Mr. Rodnyansky, in order to protect the interests of the Company and its stockholders," the company said. Rodnyansky could not be reached for comment.
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