Following yesterday's Take-Two announcement
regarding a board reshuffle and restated filings, departed Audit Committee chair Barbara A. Kaczynski's letter, drafted by her lawyer Bruce Baird, has been made available via SEC filing.
The letter reveals significant concerns on Kaczynski's of "an increasingly unhealthy relationship between senior management and the board of directors" at the Rockstar, 2K Games, Global Star Software and Joytech owner, especially regarding the late filing of the firm's accounts.
However, Kaczynski also references lack of transparency over "Take Two’s discovery of illicit images depicted in its Grand Theft Auto
videogame, the Federal Trade Commission’s investigation of Take-Two following that discovery, and various SEC inquiries directed at Take-Two and its employees" as leading to her resignation.
In fact, in Baird's letter, Kaczynski charges of her experience on the board at Take-Two: "In her experience, management’s interactions with the board were characterized by a lack of cooperation and respect. Moreover, Ms. Kaczynski felt that management failed to keep the board informed of important issues facing the company or failed to do so in a timely fashion."
In response to these allegations, a Take-Two spokesperson commented to Reuters: "The comments in the filing represent Ms. Kaczynski's personal point of view. We do not believe these views are shared by the other board members." Take-Two shares were off 20c to $17.56 in mid-day trading on NASDAQ.