Dell shareholders urged to dump Mikey

Dell shareholders are being urged a withhold their votes from chairman and CEO Michael Dell at the company's annual shareholder meeting to be held on August 12, 2010.

The meeting was postponed from last month to give shareholders time to digest the substance of the Securities and Exchange Commission's case against the company.

Dell was investigated after taking backhanders from Intel for years, in a deal that kept AMD processors out of Dell-made computers. It emerged that Dell the company and Dell the man had both indulged in financial shenanigans for which they agreed to cough up a $100 million penalty (Dell Inc) a $4 million penalty (Michael Dell), so long as they didn't have to confess to any wrong-doing.

US unions are now urging Dell shareholders to dump Mikey Dell.

A letter from AFL-CIO and AFSCME states: "Based on the allegations in the SEC's complaint against our Company and Michael Dell, we believe that shareholders would be better served by the removal of Michael Dell as the Chairman of our Company's Board of Directors.

"By voting to "WITHHOLD" from Michael Dell, you can encourage the Board of Directors to appoint a new Chairman," the letter adds.

The unions claim Michael Dell trousered $453.8 million in total compensation including stock option exercises between 2000 and 2009, while shareholders lost 66 per cent of the value of their stock.

"In our opinion, shareholders should withhold their vote from Michael Dell's election as director of our Company," they said.