The following letter was sent to shareholders/members at Mid Ocean Golf Club and copied to The Royal Gazette:

Dear Sir,

We would like to draw to your attention to the disgusting scenario which is playing out behind the scenes at Mid Ocean Golf Club ahead of this week's AGM.

The club has a democratic process to elect its president, board members and other officials. This process is being obliterated by former president Michael Dunkley and a group of other members (Ricky Cox, Alan Dunch and Michael Dela Hunty) who have their own selfish agenda in mind.

On November 26, club president Shirley James wrote to the membership (see below) to enlighten them that Michael Dunkley had gone behind the Board's back to solicit the proxy votes of the shareholders of the club for the upcoming AGM on December 10. Their goal is to re-instate Michael Dunkley as president and elect their own board.

As outlined in Shirley James' letter this action is a personal attack on the president Elect David Ezekiel and everything Shirley has achieved during her tenure.

It has become evident that the infamous '40 Thieves' and their followers hope to regain control of a high profile Bermudian institution which appears to be slipping from their control. The Gibbons, Trotts, Triminghams, Friths and other well known old Bermudian families have all signed proxy votes to give their support to oust Ezekiel and the current board this Wednesday. This shocking and disgusting situation needs to be brought to the attention of the public, especially given the prominence of some members of this group in the public arena.

Michael Dunkley has already served as president for two terms previously. His tenure was not noted for any particular successes and it is thought by a large portion of the membership that the current board has dramatically improved the club. Regardless of any opinion, a coup by one faction who want their toy back is something Bermuda needs to condemn.

On November 29, Michael Dunkley wrote to the membership and shareholders replying to Shirley's letter. In his letter Dunkley, in blatantly disingenuous fashion, insisted that his actions were not selfish or an attack on any individual. If he is to be believed, why has he conducted himself in such a fashion, ignoring the constitution and election process that has served the club for years?

Alarmingly, his comments in the letter differ greatly from the rhetoric aired in many social circles in the past weeks to drum up support for their slate, which have been racially and personally motivated.

The majority of the membership is outraged by this behaviour and we would like Mr. Dunkley to withdraw his candidacy and apologise publically for his outrageous actions.

Racial diversity is part of the tapestry of the club, although there are only a handful of black or ethnic members at the club (Mrs. James and Premier Brown being part of that group ) and that situation is not really improving. The reprehensible actions of this group set a dangerous precedent for the future of the club and its position in the Bermuda community.

Finally, it is vital that the shareholders of the club withdraw their proxy votes and support Mrs. James, clearly communicating to the people of Bermuda that they do not support any such behaviour. Not now and not ever!

Signed by Mid Ocean members who need to protect their identity in case Mr. Dunkley and his associates prevail

Copy of the letter from Shirley James:

November 26, 2008

Dear shareholders/members,

I am writing to address an unpleasant and unprecedented situation that has arisen at your club in the last few weeks. Last week I followed up my Annual Report with the publication of the slate put forward by the Nominating Committee, comprising Stephen Kendell, chairman, Joe Johnson, Ian Fulton, Carol Hammond and Blake Marshall, and supported by a substantial majority of the Board.

The Nominating Committee was appointed by me after regular requests at our AGMs, where members expressed the view that they wanted a more open and inclusive process in the selection of the Board. As I mentioned in my report, the Nominating Committee put in a lot of hard work and met 13 times, interviewing all of the current Directors and potential Directors before finalising the proposed slate.

It now transpires that a small group of members, led by past President of the club Mr Michael Dunkley, has been working behind the scenes in a campaign to produce an alternate slate that is clearly targeted to delete my Vice-President, David Ezekiel, and certain proposed new appointees to the Board and to enlist Mr. Dunkley who has already served very many years on the Board.

As you may be aware, only a small number of shares in Mid Ocean Club are in the hands of active members, with the vast majority being owned by the families who were first involved in the establishment of Mid Ocean in the 1950s. Most of these families still hold Mid Ocean in high esteem, but very few are active members and as a result, have very little knowledge of the workings of the club on a daily basis.

Mr Dunkley and his group have sought to take advantage of this situation and have been visiting the major shareholders in their homes, and have persuaded many of them to sign over their proxies to support Mr Dunkley and his slate, which includes a member recommended for retirement from the Board by the Nominating Committee. I understand that Mr Dunkley, who has already served two terms as President between 1999-2005 is proposing himself as the next President.

That David Ezekiel should be targeted in this manner by a group with only their own selfish interests at heart is, in my opinion, despicable and I find their actions offensive in the extreme. As an example, in the past week I have been approached by a member who was also deeply offended that this group had visited his aged mother in her home, a lady who has had no regular contact with the club for years, and persuaded her to sign a proxy to support their position.

Those who know what happens at the club, and that includes most of the active members, will know that Mr Ezekiel has exemplary qualifications to lead the club as my successor –- he is a proven leader, extremely bright and is well liked by all the staff and the vast majority of the members, both resident and overseas.

His work during his tenure on the Board, as my Vice-President and as Chairman of the PGA Grand Slam speaks for itself.

Away from Mid Ocean, Mr Ezekiel is one of the most highly respected business leaders in the community. David's untiring work on your behalf makes him deserving of the position of President.

In an attempt to restore some equity in this situation, I would invite any shareholder to call me or the Chairman, Stephen Kendell, of the Nominating Committee so that they can get a balanced view of this situation. I would also strongly recommend that any members who have provided a proxy to this group to withdraw it, or at the very least retain the proxy until they have heard a balanced view of what their choices are in this matter.

During my three-year tenure as president I have worked hard and have done my best on behalf of our members and the staff, and am honoured to have had the chance to serve as your President. I, therefore, cannot adequately express how concerned I am that at the end of my Presidency, an unsavoury dispute in Mid Ocean's history could occur.

Respectfully,

SHIRLEY JAMES

Personal from the President