As previously disclosed in the definitive proxy statement for Sanchez Energy Corporation's (the "Company") 2012 annual meeting of stockholders, the Company's Board of Directors (the "Board") made grants of restricted stock to certain employees and affiliates of Sanchez Oil & Gas Corporation ("SOG") under the Company's 2011 Long Term Incentive Plan (the "Plan"). Those grants were made to A. R. Sanchez, Jr., Chairman of the Board of Directors of SOG and father of our President and Chief Executive Officer, Eduardo Sanchez, the managing member of Sanchez Capital Advisors, LLC, an affiliate of SOG, and Patricio D. Sanchez, the executive Vice President of SOG, in the amounts of 350,000, 250,000 and 250,000 shares, respectively.
At the recommendation of the Company's President and Chief Executive Officer, A.R. Sanchez, III, and with the consent of the recipients of the restricted stock awards described above, the Board has approved the rescission of those awards in their entirety. Further, A.R. Sanchez, III has recommended, and our Board has accepted, the rescission of the grant made to him earlier this year of 250,000 shares. In his recommendation to the Board, A.R. Sanchez, III noted that his recommendations to rescind these restricted stock awards were voluntary actions made for the benefit of all stakeholders of the Company.
You can't just go giving your Dad and brothers large chunks of stock and think that nobodys going to notice and question this.