Chairman of the employers' side of the Whitley Council John Houghton has resigned.
Chief Minister Tony Brown made a statement in Tynwald, after an offer from Mr Houghton to step down was accepted by the Council of Ministers.
It follows a bitter row which began when chairman of the employees' side Angus Kelly was reported to police by Mr Houghton for allegedly making insulting comments at a meeting.
This was how Mr Brown broke the news in Tynwald (play attached audio file):
Mr Houghton is set to be replaced as chairman of the employers' side by Dudley Butt, MLC.
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