Old Mutual suspends boss over 'breakdown in trust'

The financial services firm Old Mutual has suspended its chief executive Peter Moyo, citing a "breakdown in trust".

The South Africa-based insurance specialist made the announcement in an extraordinary statement to investors.

It read: "Shareholders are advised that the board has had various engagements with Mr Peter Moyo... These engagements have caused the board to conclude that there has been a material breakdown in trust and confidence between him and the board.

"As a result, the board has suspended the chief executive officer with immediate effect.

"Iain Williamson, chief operating officer will assume the role of acting chief executive officer."

The company gave no further details but said more would become available later in the day.

Old Mutual lost its FTSE 100 listing last June after it split itself into four as a US asset manager, Old Mutual Limited, a South African bank and Quilter, its UK wealth management arm.

Old Mutual's shares trade in Johannesburg and were up to 3% down.