he is the guild leader... if he cant do what is best for the guild he should step down.
run the group with out him, and if the guild leader remove like repairs or something then start a new guild. Yes u will have to start all over with rep, but would u rather start over with rep or deal with a sub par, power controlled GL.
have the GL start group 2, and then once group 1 is done with everything they could want you could mix the 2 groups if group 2 is still behind.
also dont call your groups 1 and 2 call them like Bill's Fourth Eye, and Ted's Left legged Hoppers. something that doesn't says this is the best group and this is the group of left overs