Business
Re Supreme Court Judgment
Re Supreme Court Judgment.
About this update from Dcc Plc
[{"type":"text","content":"\n DCC PLC\n30 July 2007\n\n\n\n\n Further Announcement re Supreme Court Judgment\n \nFollowing the Stock Exchange announcement issued by DCC plc ('DCC') on Friday\nlast at 6:30pm, DCC wishes to give further detail in relation to the Board's\nfull confidence in and unanimous support for Jim Flavin as Executive Chairman \nof DCC.\n\nAt its meeting on Friday last the Board of DCC carefully considered, in Mr\nFlavin's absence, whether the decision of the Supreme Court had any implications\nfor Mr Flavin's position. In reaching its conclusion, the Board was cognisant of\nthe fact that the Supreme Court decision to overturn the High Court's judgment\ndid not imply that Mr Flavin had used price sensitive information in the share\nsales. \n\nIn its judgment the Supreme Court quoted what the High Court judgment\nsaid on this matter and set out below is an extract from the quote:\n\n 'In my view, in this case, the evidence is not open to the interpretation \n that Mr. Flavin used the information contained in the November and December\n Trading Reports which is alleged to have been confidential and \n price-sensitive, the negative information in relation to Fyffes' trading \n and earnings performance in the first quarter of financial year 2000, so \n as to enable the DCC Group to exit from Fyffes in manner which would avoid \n any share price impact which would ensue from the disclosure of that \n information. In my view, on the evidence, it is clear that what motivated \n Mr. Flavin in his involvement in the Share Sales and what motivated the \n almost total exit of the DCC Group from Fyffes in February, 2000 was the \n opportunity to make a substantial profit because of the increase of\n the share price on the back of wof.com. The plaintiff has not established \n any evidential nexus between the profit which the Share Sales generated \n for the DCC Group and the use by Mr. Flavin, or the use by any of the \n boards of the corporate defendants, of the confidential information \n contained in the November and December Trading Reports. On any view of \n the evidence, that information simply had no bearing on the Share Sales.'\n\nThe Supreme Court judgment also stated that\n\n 'The High Court concluded that Fyffes had failed to establish a breach \n of fiduciary duty on the part of Mr Flavin...'\n\nNo appeal was made against these strong fi...