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Gold/Mining/Energy : BRE-X, Indonesia, Ashanti Goldfields, Strong Companies. -- Ignore unavailable to you. Want to Upgrade?

To: Paul Corbett who wrote (28208)	11/16/2000 12:09:53 PM
From: Lalit Jain	Read Replies (1) \| Respond to of 28369

Bresea counsel reaches decision to settle Bre-X Minerals Ltd BXM Shares issued 219,103,330 1899-12-30 close $0 Thursday Nov 16 2000 News Release Mr. Harvey Strosberg reports Harvey Strosberg, class action counsel in the Ontario class action, announced today on behalf of other Canadian class counsel and Paul Yetter, class counsel in the U.S. class action, that a settlement agreement has been entered into among class action counsel and Deloitte Touche Inc., as trustee of the estate of Bre-X and Bresea Resources Ltd. The agreement is subject to the approval of the Alberta, Ontario and Texas courts and also the approval of Bresea shareholders and claimants. "This is an important day in the continuing pursuit of those who allegedly perpetrated fraud against people who invested in Bre-X," said Mr. Strosberg. "As we have said before, the strongest case has always been against the Bre-X insiders who caused so many investors to lose substantial sums." Mr. Strosberg said the decision to settle provides further resources to allow the class action to proceed aggressively against the insiders. "I am delighted that we have been able to co-operate closely with Canadian class counsel in order to come to this agreement," said Mr. Yetter. "This kind of co-ordination ensures that the Bre-X insiders cannot try to use the courts and counsel of one country to play off against their colleagues in the other. We are all determined to get justice for the victims of this fraud, no matter where they lived," he added. If approved by the courts and the shareholders of Bresea, Bresea will have all claims against it settled and will be in a position to apply to the Ontario Securities Commission to resume trading in its shares. All links between it and Bre-X will have been severed. The terms of the agreement require: Bresea shall pay to Bre-X's trustee in bankruptcy $10-million. This amount is intended to settle all claims by Bre-X and Bre-X shareholders and persons who traded in Bre-X shares against Bresea. Bresea shall transfer to Bre-X's trustee in bankruptcy the 49 million shares in Bre-X held by Bresea. Bre-X shall transfer to Bresea eight million shares in Bresea held by Bre-X's trustee in bankruptcy. If any moneys are recovered in the continuing class action or in the U.S. class action or in the trustee actions, an amount of 5 per cent to a maximum of $2.5-million shall be paid to Bresea. This agreement contemplates that class counsel in Texas and in Ontario will work with Deloitte & Touche, the receiver of Bre-X, to maximize recovery on behalf of the victims of the fraud. (c) Copyright 2000 Canjex Publishing Ltd. canada-stockwatch.com