The former pornography baron David Sullivan has announced his resignation as a joint-chair and director of West Ham with immediate effect.
Sullivan and his legal representatives said in a statement that the 77-year-old billionaire was stepping down to apply his “full energy and attention†to fighting what he described as “false allegations†concerning his personal conduct, due to be aired as part of a joint investigation by BBC Panorama and the Times on Monday.
Sullivan, who made his fortune in the adult entertainment industry before founding the Sport newspapers, said on Saturday he was announcing his intention to stand down “for the benefit of transparencyâ€.
He did not elaborate on the accusations but said he “categorically†denied them. He described the allegations as “factually incorrect and entirely false†and said he intended to sue any outlet that broadcast or published them.
“After a lifetime spent building businesses in the adult industry, in which I have met thousands of women, it is sadly inevitable that a small number of improper conduct claims are being made against me,†he said.
Sullivan claimed to be a “private man†and “not the caricature invented by the tabloidsâ€.
“I am absolutely not the person the media has decided to paint me as,†he said. “I have not been provided with any proper explanation as to how these individuals or their claims were independently verified or assessed for credibility prior to publication. I believe that the entire process has been fundamentally unfair and completely lacking in any due impartiality.
“I will be suing the BBC for libel, along with any other media outlet that repeats any libellous allegations.
“None of these allegations relate to my more than 30 years in football; West Ham United has been one of the greatest passions and privileges of my life. I care deeply about the club, its supporters, its players, its staff, and its future. At what is already a challenging and important time for the club, I refuse to allow personal matters concerning me to become an unnecessary distraction or a source of instability.
“Therefore, after very careful consideration and with a heavy heart, I have decided to resign as joint-chair and director of West Ham United FC with immediate effect. This has been an incredibly painful decision to make, but it is one made out of love, respect, and responsibility toward a football club and a fanbase that deserve absolute unity and focus moving forward.
“I am stepping down to apply my full energy and attention on fighting these false allegations. I have officially engaged my legal team and we are preparing to issue legal proceedings in respect of each and every false complaint that has been made against me. I will be seeking full redress, legally and publicly, on every single front.â€
West Ham fans have grown increasingly frustrated with Sullivan's leadership in recent years. Their anger reached boiling point last month when the side was relegated from the Premier League after finishing 18th. Sullivan was jeered by the crowd in the club's last game of the season against Leeds United and left the match early.
One source said it was “carnage†behind the scenes at West Ham in the days leading up to Sullivan stepping down. The club was already facing a major rebuild following relegation from the Premier League. Several senior executives have left in recent months, including the vice-chair Karren Brady, who resigned in April.
It is understood that some members of the board have long wanted to oust an “unpopular†Sullivan, who bought a 50% stake in the club in 2010 with his late business partner, David Gold. The pair previously owned a majority stake in Birmingham City.
Sullivan remains West Ham's largest shareholder despite his resignation as a director and club sources have said the east London side is now in “limbo†over its financial future, with fears its value has declined following its relegation to the championship.
It is understood that external buyers were thwarted in attempts to buy a portion of the Gold family's shares earlier this year. Club sources said the deal would have begun the process of diminishing Sullivan's power base. An alternative arrangement was lined up for the Czech billionaire Daniel KÅ™etÃnský, the club's second largest shareholder, and Sullivan both to buy part of the Gold family's stake and share control in the boardroom.
KÅ™etÃnský was set to match Sullivan's control of the club, with both expected to own more than 40%. West Ham's relegation has caused uncertainty over the terms of the deal, though, with sources saying the agreement has still not been signed off by the relevant parties.
Discussions will be held at board level next week over whether changes to the club's operational control and football structure should be implemented after Sullivan's resignation. Industry figures have noted Sullivan's sons, Jack and Dave Jr, taking more of an active role in West Ham's recruitment during the past two years.
Jack Sullivan has been involved in the club's search for a new sporting director, with an appointment expected soon. However, sources anticipate KÅ™etÃnský's side wanting more of a say over football affairs. KÅ™etÃnský has previously taken a back seat but is understood to have been influential in West Ham sticking with Nuno EspÃrito Santo as their manager after relegation.
West Ham are facing a major rebuild after dropping into the Championship and posted a loss of £104.2m in the last financial year. They need to raise more than £100m in sales and are expected to lose key players this summer. There was further upheaval when Max Hahn, the club's technical head of recruitment, handed in his resignation last week.
Sullivan, who is engaged to the reality television personality Ampika Pickston, is understood to have told close friends on Friday evening that he planned to step down from the club in light of the allegations he is facing before instructing lawyers to draft his resignation statement.
“As I depart, I want to thank everyone connected with West Ham United, past and present, for the loyalty, friendship, memories and European adventures and successes that I will carry with me forever,†Sullivan added.
“West Ham United will always remain close to my heart, and I have total confidence that the board of directors and interim chief executive officer Karim Virani will do everything they can to take the club forward in the right direction. I wish everyone connected with the club every success in the future.
“I will not be making further public comment at this stage, but I reserve all legal rights available to me in relation to any false or defamatory allegations.â€
A spokesperson from West Ham said: “Mr Sullivan has resigned as a director of both WH Holding Limited and West Ham United Football Club, having been made aware of the impending publication of serious historic allegations.
“It is understood none of the allegations relate to West Ham United or any of its operations. Through his own legal representatives Mr Sullivan denies any illegal conduct and has taken the decision to step down in order to avoid disruption to the club while he addresses the matter privately.â€
A BBC spokesperson said: “BBC Panorama and the Times newspaper have been working together on a joint investigation into the behaviour of David Sullivan, who has announced he is stepping down as joint-chair and director of West Ham United FC. Over decades, he's made millions from pornography, newspapers, and football. The investigation is due to be broadcast and published on Monday.â€
