THE exodus of senior staff continues at Australian Wool Innovation.

The latest casualty is Dr Ben Lyons, who headed up AWI's Woolmark operations in Shanghai.

Reasons for his departure are unclear, although Dr Lyons told The Weekly Times it wasn't his intention to leave.

However, Dr Lyons said for legal reasons he was unable to talk about his departure.

But The Weekly Times understands Dr Lyons clashed with AWI directors Chick Olsson and Laurence Modiano during AWI's controversial marketing tour of China and Europe in February. It was this tour which also raised the ire of Italian processors.

The Weekly Times understands when Dr Lyons raised his concerns with AWI regarding criticisms from the delegation party, AWI chairman Wal Merriman invited Dr Lyons to detail his concerns to the board.

Immediately after the April board meeting acting chief executive Stuart McCullough terminated Dr Lyons' services.

But Mr McCullough told The Weekly Times the position Dr Lyons held at AWI had been made redundant, "which Dr Lyons has accepted".

"The project he was working on was completed on March 30 and is not being further pursued by the company," Mr McCullough said.

"This decision was made for operational reasons and I am unaware of any direct conflict Dr Lyons had with board members or staff.

"AWI has been keen to make sure Ben and his family are repatriated to Australia and appropriately accommodated for."

Dr Lyons was regarded in wool circles, both locally and abroad, as one of the bright hopes for the industry.

Dr Lyons' departure adds to the woes of AWI since the resignation of chief executive Brenda McGahan, company secretary Sue Myers and senior legal counsel Jane Culloch.

AWI is also without permanent general managers for its on-farm research and marketing departments.

An AWI spokesman said interviews for a replacement chief executive were being conducted and the board hoped to make an announcement after its next meeting on May 20.