Eugene Jones, president and CEO of Toronto Community Housing Corp., is no longer at the helm of the organization, the board has confirmed.

The announcement by board chair Bud Purves followed an in-camera meeting held Friday by directors of Canada’s largest social housing agency to discuss a scathing report issued earlier this week by city ombudsman Fiona Crean.

“After much deliberation, the board and Gene have decided that a change in leadership is the best position for Toronto Community Housing to move forward and implement its strategic plan,” Purves announced amid audible boos, jeers and shouts of “shame” from some in attendance.

“As a result, today will be Gene’s last day as president and chief executive officer,” Purves said. “On behalf of the board, I’d like to thank Gene for his contributions to Toronto Community Housing, and to our residents, and to the city of Toronto."

Under the terms of his employment agreement, Jones will receive a severance payment reported to be roughly $200,000.

Current vice-president and CDO Greg Spearn has been appointed interim president and CEO following Jones’ departure.

Crean’s report, issued Tuesday, slammed Jones and other members of the TCHC’s senior management team for repeatedly violating human resources policies concerning the hiring, promoting and firing of staff.

Crean will present her 111-page report to the board during its open session this afternoon, even though her findings have already been made public and shared with the directors and management.

Calling it a “failure of leadership,” Crean said Jones felt he was entitled to “do as he wanted” and that he had no responsibility for knowing the rules.

She accused senior managers of running the corporation, which is owned by the city, as though it was their own “personal fiefdom.”

Toronto Mayor Rob Ford, who at a press conference Thursday appealed to board members to keep Jones at the helm, has criticized the report, accusing Crean of playing politics.

Ford expressed his disappointment following the announcement.

“For (Jones) to resign, it really, really bothers me,” he said. “Gene put his heart and soul into the job. When you’re fighting an uphill battle, you can only fight for so long.”

Ford said that if re-elected, he will try his best to bring Jones back.

Ford was not allowed to sit in on the in-camera portion of the meeting because he is not a board member. The 13-member board includes four representatives from council, including a seat for the mayor or a designate. In 2012, council appointed Coun. Maria Augimeri to serve as the mayor’s designate.

Crean's report revealed a high turnover rate following Jones’ takeover almost two years ago, plus improper hiring, broken contracts, inequitable treatment of staff, incomplete record keeping, and a “climate of fear” within the workplace.

Crean was also critical of the board’s oversight and she gave 12 recommendations that the TCHC has promised to implement.

Earlier this year, a private law firm investigated two allegations of improper conduct and in February the TCHC said it was taking steps to “strengthen managerial practices.”

The TCHC said the investigation found Jones did not exercise proper management oversight and failed to follow board processes and procedures.

As a result, Jones lost his bonus for 2013 and he was ordered to undergo management training.

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