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London Transport Secretary Stephen Byers July 17 "ended the appointment of" Robert Kiley as chairman and board member of London Regional Transport, according to a statement issued by England’s Department for Transport, Local Government and the Regions.



Chairman and chief executive officer of New York City Transit from 1983 to 1990, Kiley May 8 was named London Transport chairman to lead contract negotiations for efforts to revitalize the London Underground.



"When I announced the government’s decision to ask London Transport to continue with their plans for investment in a publicly run, privately built Tube, I said I wanted to work with Bob Kiley," said Byers in a prepared statement. "I had hoped he would accept our decision, despite his disagreements, and work with us and London Transport to deliver a modern 21st century Tube. Unfortunately, that hasn’t been the case."



Kiley wrote Prime Minister Tony Blair June 29 stating that he had been unable to reach an agreement that met his objective and key criteria for the Tube — at which time the government directed the Underground to proceed with plans for the Tube’s infrastructure within parameters acceptable to the bidders and the Underground.



"I have today received a letter signed on behalf of a majority of the London Transport board saying they cannot work with Bob Kiley, and thus it is impossible for the London Transport Board to function effectively," said Byers, adding that Kiley tried to use his board position to block negotiations and issued instructions to senior management to halt negotiations.



Sir Malcolm Bates has been reappointed chairman; Kiley will continue to serve as London’s commissioner of transport.