Board chairman resigns from beleaguered Back9Network

A screen capture from YouTube shows the Hartford studios of the Back9Network. Contributed photo.

A screen capture from YouTube shows the Hartford studios of the Back9Network. Contributed photo.

A former appointee of Gov. Dannel P. Malloy resigned Thursday as the board chairman of the Back9Network, the beleaguered golf and lifestyle channel that suspended its operations last week after receiving $5.1 million in economic incentives from the state.

Sanford Cloud Jr., a Hartford businessman and former Democratic state senator who served on Malloy’s transition team in 2010, stepped down from his leadership post, the network confirmed. Back9 also announced the departure of James Wehr from its board, leaving two of the five directorship seats vacant. Wehr is CEO of The Phoenix Cos., the network’s landlord and a major creditor of Back9, which also counts Cloud as a board member.

“Their resignations from Back9’s board were primarily driven by this potential conflict of interest,” the network said in a statement. “The current management team and board of directors continue to work diligently on finding long-term financing for the company, and we will keep you updated.”

The unceremonious exit of Cloud and Wehr coincides with an effort by Back9’s estranged former CEO and founder Jamie Bosworth to retake the network and get it back on air. Bosworth broke his silence Thursday in a statement to Hearst Connecticut Media.

“I take no pleasure in seeing that Sandy Cloud resigned from Back9 and indeed I wish him well in his future endeavors,” the statement read. “That said, as Back9’s largest shareholder it comes as welcome news that – finally – new leadership will be in place. Back9 has been sliding backwards since I was forced out last June. Back9 is obviously in a bad position at the moment, but make no mistake, it is not dead. With new leadership the company can rebound and thrive. I will continue to do everything in my power to see Back9 succeed. I still believe Back9 will recover and I will do all I can to see that it does.”

A spokesman for Malloy, who has been criticized for the state’s investment in the network and his ties to some of its principals, declined to comment.

Jason Veretto, the husband of Malloy’s chief of staff, Mark Ojakian, has been employed by the Back9Network since August 2012 in business development.

The death knell of the Hartford golf startup came last month when the Back9Network lost its only television platform in DirecTV, which commanded $7 million a year to carry the station on Channel 262. The network suspended its operations after just five months on the air, rock bottom for a company that laid off 35 of 85 employees in January and is mired in a legal feud with Bosworth.

Bosworth’s Hartford lawyer, Paul McConnell, characterized the reasons given for Cloud and Wehr’s resignations as spin.

“The alleged conflict-of-interest has been in place ever since Back9 leased space at property controlled by Mr. Cloud,” McConnell said. “The current claim that the resignations are tied to conflicts-of-interest appears to be political cover. Hopefully Back9 shareholders will view the move has tied to leadership, performance, and direction of the company. Mr. Bosworth looks forward to the Board’s next moves to restore shareholder confidence.”

Neil Vigdor