JJB Sports suspends controversial chief executive Chris Ronnie

UNDER fire JJB Sports chief executive Chris Ronnie has been suspended

A terse statement to the Stock Exchange yesterday said Mr Ronnie’s suspension related to an internal investigation “into certain matters” being conducted by the company’s lawyers.

Wigan-based JJB did not comment further, but the investigation is known to relate to last week’s dramatic revelation that the 27% shareholding Mr Ronnie had bought from founder David Whelan in August 2007 for £190m, was now in the hands of the administrators of Kaupthing, the Icelandic bank that was his financial backer.

It is understood that the investigation will take weeks rather than months to complete. The issue of the ownership only came to light after new executive chairman Sir David Jones asked the company’s lawyers to establish the facts on the shareholder base.

As well as the issue over disclosure of the shareholding, Mr Ronnie has been under pressure for several months over the company’s poor trading performance, which has seen the share price slump by more than 90%.

It was not disclosed whether the Wilmslow-based executive, who used to work for JJB’s rival Sports World as well as soccer kit manufacturer Umbro, will be paid during his period of suspension. In the year to the end of January 2008 Mr Ronnie, 47,  was paid £293,000.