Majority shareholder Carson Yeung confirmed on Tuesday that he had resigned from his position on the boards of Birmingham City Football Club, Birmingham City plc and Birmingham International Holdings Limited (BIHL) - the club's parent company.
Yeung, who has had his assets frozen and is awaiting the verdict of a money laundering trial in Hong Kong, took the decision to focus more time on his ongoing court case and to crucially satisfy one of the requirements for the resumption of trading of BIHL's suspended shares on the Hong Kong Stock Exchange.
And Pannu, speaking after BIHL's EGM in Hong Kong, told the club's official website: "All resolutions from today's EGM were passed by 100 per cent of the independent voting shareholders which is a milestone and a big step forward in restructuring the group's equity position as a prelude to the resumption of trading of BIHL's shares.
"The shareholders were eager to see that happen as they support the board's strategies and endorse the work being done in Hong Kong and the UK.
"Birmingham City Football Club is relieved of Carson Yeung's debt, which will be converted to equity in Hong Kong thus making the club's financial position better. This has to be beneficial to the club's operations going forward, certainly ahead of any negativity that will stem from Mr Yeung's court case.
"Various fundraising activities were also approved and this will ultimately lead to new equity for the use of the group and the football club. The enlargement of the share capital of BIHL to facilitate the subscription of new shares upon resumption of trading to generate fresh capital will be envisaged.
"These are all important steps which I have been attending to since I joined the BIHL board here in Hong Kong. This was in order to improve the financial position of the group, and ultimately the football club. Of course, the current position was as a result of the freezing of Mr Yeung's assets and the suspension of trading of BIHL's shares on the Hong Kong Stock Exchange. This is a position that nobody wanted to be in but it had to be dealt with and these will soon be issues of the past.
"Hopefully going forward some of the financial problems will be eased and the group can operate and endeavour to generate new revenue under the leadership of the new chairman, Cheung Shing, following the departure of Mr Yeung.
"I will look to address supporters more often on the developments in Hong Kong and any matters that may have an impact on our beloved football club."
Yeung, 53, completed a takeover of Birmingham in October 2009.
Since he took charge, Birmingham have won the League Cup but have been relegated from the Premier League and are currently 18th in the Championship table.
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