Steadfast Group Limited rocked by CEO stepping aside amid probe

Highlights:

• Steadfast Group Limited (ASX: SDF) shares plunged 7.9% at the time of writing after long-serving CEO Robert Kelly AM stepped aside pending an independent investigation into allegations made by an employee.
• The board confirmed Tim Mathieson, CEO of the Australasian broking division, has been appointed Acting CEO, while Kelly remains on full pay during the probe.
• The leadership shake-up prompted a sharp market sell-off, with shares dropping as much as 9.3% intraday, reflecting investor concern over governance and reputational risks.

In a dramatic move at the time of writing, Steadfast Group Limited (ASX: SDF) plunged around 7.9 per cent after its Managing Director & Chief Executive Officer, Robert Kelly AM, opted to temporarily stand aside pending an external investigation into a workplace complaint made by an employee.

Complaints and investigations

The company told the Australian Securities Exchange (ASX) that Kelly has chosen to step aside on a temporary basis while a workplace complaint against him is being investigated by an external party. At the time of writing, no specific allegations have been substantiated. Kelly will remain on full pay during the process and the group’s Australasian broking CEO, Tim Mathieson, has been appointed Acting CEO.

Market reaction & governance concerns

Following the announcement, Steadfast’s shares tumbled sharply — reports indicate a drop of up to nearly 10 % in early trading. The company also disclosed that it requested a trading halt while the investigation began. At the company’s annual general meeting, outgoing Chair Frank O’Halloran urged shareholders to show patience with the board as it carried out a “thorough process” in the interests of procedural fairness.

What this means for Steadfast

The development comes at a challenging time for the insurance broker network, which is already managing volatile premium-rate conditions and growth pressures. The sudden leadership uncertainty raises questions about continuity, corporate governance and reputational risk. The board emphasised that the business remains strong and the incident does not change its guidance — but the market response underscores investor nervousness.

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