Western Troy Capital Resources (WRY-V) Announces Genivar Litigation Verdict
Nov 2rd 2016 - NR
Western Troy Capital Resources announces that it has been awarded a $1.25 million judgement in the Western Troy v. Genivar litigation.
It has been over four years since Western Troy filed breach of contract and negligence claims against Genivar and one of its employees as a result of Genivar's work on a feasibility study for Western Troy's MacLeod Lake Copper Molybdenum Project in Quebec. In an order issued by the Ontario Court, Genivar was found negligent in a number of instances surrounding the work on the MacLeod Lake Project. Western Troy was awarded $1.25 million in restitution. Western Troy was also awarded costs and interest, the amount of which will be determined soon. The full text of the ruling will be available soon on Western Troy's Website ( www.westerntroy.com). Genivar has 30 days within which to make payment of the full amount of the award, or appeal the verdict. The award amounts to 3.7 cents per outstanding share of Western Troy common stock.
Rex Loesby, Western Troy's CEO, commented, "While we are happy this ordeal is finally concluded, we are disappointed with the court's ruling in that we believe the damages to be far in excess of the award. Throughout the process we have been confident of eventual success in the litigation, but it has been a very long and frustrating effort to get to this point. I want to thank those who have helped us through the process. Sara Erskine, Garett Schromm, and Kristjan Surko, of Rueters LLP in Toronto, have all done an incredible job of preparing for and prosecuting this case and I have no reservations about recommending them to others. Service providers Marrelli Support Services (accounting & financial statement preparation), DSA Corporate Services (secretarial services), Brian Carr (Tax Law Attorney in Toronto), Hugues Lachance (KPMG Tax in Montreal), McGovern, Hurley, Cunningham, LLP in Toronto (Audit), and Laurie Meloche (Corporate Development in Toronto), have all contributed their time and effort for the benefit of Western Troy while reducing and/or deferring their fees. Western Troy could not have reached this point without their help and support. Western Troy has used the time waiting for the verdict to investigate acquisitions or business combinations that will benefit our shareholders. Given the current environment for mineral exploration companies, we believe there are a number of attractive opportunities open to us. Over the next few months we will investigate these opportunities in more detail and bring the best to our board for approval."
About Western Troy: Western Troy's shares trade on the TSX Venture Exchange under the symbol WRY. Western Troy has 33,589,970 shares outstanding. More information on Western Troy can be found on its Website at www.westerntroy.com.
Western Troy Capital Resources
Rex E. Loesby, CEO
303-771-9610
RexLoesby@aol.com
Website: www.westerntroy.com
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While it is a clear win for Western Troy, we are surprised the award is not much greater than $1.25 million plus interest and costs. It is clear from the text of the court's ruling that it ruled in favor of virtually all of Western Troy's assertions, and ruled against virtually all of Genivar's defenses. However, it does provide us with sufficient funds to move ahead with pursuing projects or business combinations that will be beneficial for our shareholders.
One silver lining is that due to the size of the award, and the text of the court's ruling, we expect it is unlikely Genivar will appeal. We should see the funds within the 30 days allowed.
Please note that we have changed our contact telephone number to 303-771-9610.
Please call or Email if you have questions or comments. Thank you.
Rex Loesby, CEO
Western Troy Capital Resources Inc.
Tel/Cell: 303-771-9610 |
