Disputes financier Litigation Capital Management (LCM) today announced it has sacked its executive vice-chair for alleged breaches of its expenses policies, sending shares down by more than 15% in early trading.

The AIM-listed funder said Nick Rowles-Davies’ employment by LCM’s subsidiary, LCM Corporate Services Pty Ltd, ‘has been terminated on the grounds of gross misconduct effective 17 December 2021’.

‘Following the termination of employment, and in accordance with the terms of his contract of employment, Mr Rowles-Davies has been removed from his position as executive vice chairman on the board of directors of the company with immediate effect,’ the company said.

‘The decision to terminate Mr Rowles-Davies’ employment follows the identification of certain expenses claims which have been made in contravention of LCM’s global expense guidelines and policy.’

The company said that ‘the breaches are a significant violation of internal company policies’, but added: ‘Their quantum is not material to LCM’s financial condition and performance.’

Shares in LCM, which teamed up with international firm DLA Piper last year to help clients pursue cases that would otherwise be too expensive, fell by 15.77% from 96.40p to 87.60p on the news.