(PPI) TSX/SWX
CALGARY, Nov. 16 /CNW/ - Proprietary Industries Inc. announced today that
it had received payment in the amount of $1.69 million pursuant to the
enforcement of judgments against four offshore companies: Strategic Investment
Fund, Cheshire Capital Inc., Ashland Holdings Corp., and Lexington Capital
Ltd. (the "offshore companies"). This is in addition to approximately $382,000
which was recovered from the offshore companies in 2004 pursuant to earlier
enforcement efforts.
The judgments arose out of a claim filed by Proprietary against the
offshore companies and others. One of Proprietary's allegations in that suit
was that the offshore companies had received millions of dollars in payments
from Proprietary that were improperly characterized as "commissions". While
litigation is ongoing in respect of other defendants who have defended
Proprietary's claims, the offshore companies failed to defend and default
judgment was entered against them.
Recently, a Calgary law firm purporting to act for three of the offshore
companies filed a motion to set aside the judgments. Proprietary disputes the
law firm's authority to act for the offshore companies. The matter has not yet
been adjudicated.
About Proprietary:
Proprietary is based in Calgary, Alberta and listed on the Toronto and
Swiss Stock Exchanges trading under the symbol PPI. At Proprietary's request,
the Swiss listing will cease as of February 9, 2006. Proprietary is a
principal merchant bank.
Forward-looking statements: This document contains statements about
expected or anticipated future events and financial results that are forward-
looking in nature and, as a result, are subject to certain risks and
uncertainties, such as general economic, market and business conditions, the
regulatory process and actions, technical issues, new legislation, competitive
and general economic factors and conditions, the uncertainties resulting from
potential delays or changes in plans, the occurrence of unexpected events, and
the Corporation's capability to execute and implement its future plans. Actual
results may differ materially from those projected by management. For such
statements, we claim the safe harbour for forward-looking statements within
the meaning of the Private Securities Legislation Reform Act of 1995.
The Toronto Stock Exchange and the SWX Swiss Exchange have neither
approved nor disapproved the information contained herein.
