WorldCom director Mr Stiles Kellett quit under board pressure over his involvement in arrangements with former chief executive Mr Bernard Ebbers, the Wall Street Journalwebsite reported today.
Mr Kellett is said to have resigned after weeks of growing pressure over deals he helped arrange for Mr Ebbers, including the use of WorldCom's company jet and a huge personal loan worth some $415 million.
He is also understood to have been involved in negotiating Mr Ebbers's severance package from WorldCom.
Mr Kellett resigned on Sunday and agreed to pay the bankrupt telephone company about $120,000 to resolve controversy over his use of company aircraft, his lawyer said yesterday.
Mr Kellett submitted his resignation on Sunday night and agreed to pay about $120,000, or $3,000 an hour, for use of the company aircraft, according to his lawyer.
Clinton, Mississippi-based WorldCom, which declared bankruptcy in July amid a $7.68 billion accounting scandal, declined to comment.