Business
Russian legal update
Russian legal update.
About this update from Cerillion Plc
[{"type":"text","content":"\n Celtic Resources Holdings PLC\n23 November 2005\n\n\n\n Celtic Resources Holdings Plc\n (\"Celtic\" or \"the Company\")\n \n Russian legal update\n\nThe Board of Celtic has noted the recent press comment in Russia concerning a\nshareholders meeting of 18 November 2005 of OJSC \"South Verkhoyansk Mining\nCompany\" (\"SVMC\") which owns the Nezhdaninskoye gold mine. The board wishes to\nclarify the current legal position concerning this meeting.\n\nOn 14 November 2005, the Voronezh Court in the Republic of Sakha (Yakutia), in\nEastern Russia, granted an injunctive order prohibiting the shareholders meeting\nfrom making decisions which would effect an issue of new shares, approve a paper\nloan by Polyus, a wholly owned subsidiary of Norilsk Nickel, to SVMC, approve a\nnew version of the company Charter or elect a new General Director. The relevant\nparties were formerly notified of the injunction obtained.\n\nSubsequent to this, on 18 November 2005, the Court took the decision to release\nthe injunction. However, according to article 144 of the Civil Procedural Code\nof the Russsian Federation, such a decision could only enter into force after 24\nNovember. On 21 November, the same Voronezh District Court suspended the\nNovember 18 decision to release the injunction with the result that the\ninjunction continues to be legally valid and in force until final judgment is\nmade in the Civil case in which it was obtained. As a result the injunction\nremains in force and renders any decisions of the shareholder meeting to which\nit relates illegal.\n\nTherefore the information on the legitimacy of the meeting, which appeared in\ncertain Russian publications, and which was also distributed by certain brokers'\noffices, is not true.\n\nThe Company and its lawyers continue to vigorously defend Celtic's 50 per cent.\ninterest in SVMC and will provide additional updates on legal proceedings when\nappropriate. Notwithstanding the strength of its legal position Celtic has\nalways been open to a negotiated resolution of ownership of the Nezhdaninskoye\nmine. As previously announced discussions with Polyus in regards to this matter\nand future development of Nezhdaninskoye are ongoing.\n\nFor further information please contact:\n\nKevin Foo / Kate Dexter Smith Leesa Peters / Laurence Read\nCeltic Resources Holdings Plc Conduit PR\nTel: + 44 (0...