Well here is some news - not exactly the kind we were looking for but it explains some of the recent activity in the stock. Hopefully this NR is the beginning of the end of whatever mess the directors have been up to. The fact that they agreed with the December letter from Titanium would lead one to hope that they will comply with the most recent writ and get a move on. This kinda crap takes away from everything that is going on with the deposit and the recent deal w/ Rail Assoc for Sysco.
NAR and Titanium agree to resolve legal issues
NAR Resources Ltd NRL
Shares issued 7,838,202 Jan 17 close $1.25
Tue 18 Jan 2000 News Release
Mr. Leonard Taylor reports
On Dec. 23, 1999, the company and Titanium Corporation of Canada Limited
amended their letter agreement dated April 15, 1999, as previously amended
on June 7, 1999, in order to resolve certain disputes which had arisen
between the parties. The principal dispute concerned the allotment and
issue of certain share purchase options to the company's directors and
employees which Titanium considered to be in breach of the original
agreement. In the December amendment, Titanium relinquished its right to
seek recourse against the company with respect to the issue and exercise of
the said options, while the directors and one employee of the company
agreed to cancel unexercised options totalling 204,000 in number. The
company further agreed to cause two nominees of Titanium to be elected or
appointed to the company's board of directors, provided that such nominees
are not officers, directors, employees or principal shareholders of
Titanium and are not otherwise related to Titanium, and further provided
that such nominees are acceptable to the company, acting reasonably, and to
the regulatory authorities. Titanium has yet to provide the names of its
proposed nominees. Titanium also agreed to approve the transfer of 100,000
common shares of Titanium (or approximately 1 per cent of Titanium's issue)
from one of the company's directors to the company. In consideration of
these and other matters, the company agreed to provide the additional
$500,000 of financing required for Titanium's exploration program as
follows:
$150,000 upon the execution of the December amendment, which has been paid;
a further $150,000 to be advanced no later than Jan. 31, 2000; and
the final $200,000 to be advanced no later than March 31, 2000.
Notwithstanding the execution of the agreement on Dec. 23, 1999, certain
persons who claim to act in their capacity as shareholders of the company
commenced a proceeding on Dec. 16, 1999, by way of a notice of application
in the Superior Court of Justice (commercial list). The applicants are
seeking various declarations and orders concerning the options referred to
above and other options issued by the company and subsequently exercised,
and in respect of other business and affairs conducted by the company,
including its acquisition of the said 100,000 Titanium shares, to which
Titanium has consented.
As this proceeding has just been commenced and served upon certain of the
respondents, an assessment of the allegations being asserted has not been
undertaken. The applicants have not yet delivered their material and
evidence in support of the proceeding, and it is only at such time that a
determination of the nature and extent of the response warranted and an
assessment in respect of the merits of the allegations asserted in the
proceeding will be feasible.
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