Two board members of bankrupt WorldCom are urging other directors and creditors to fire chief executive officer John Sidgmore, the Washington Postnewspaper reported this morning.
It quoted board members Max Bobbitt and Stiles Kellett as saying Skidmore's vision for bringing the telecommunications company out of bankruptcy was flawed and the company should instead be trying to find a buyer.
Sidgmore told the newspaper he had no plans to step down.
"I have the support of the majority of the board," Sidgmore was quoted as saying.
The newspaper quoted sources as saying that Bobbitt and Kellett were trying to persuade several creditors to help convince the 10-member board to oust Sidgmore.
Worldcom is the target of several federal investigations. The company, parent company of Arlington-based MCI Group, filed the world's largest bankruptcy in July as it crumbled under debt and an accounting scandal.
Worldcom admitted in June that $3.85 billion in expenses were improperly entered as long-term investments over the course of 15 months starting in 2001. The Securities and Exchange Commission has filed fraud charges against the company alleging the errors hid $1.22 billion in losses.
Former Worldcom CEO Bernie Ebbers resigned under pressure in April and Sidgmore, then vice-chairman, took over. Sidgmore had previously run UU-Net, Worldcom's Internet arm.