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

To: Bill Jackson who wrote (27537)	11/14/1997 12:30:00 PM
From: alan holman	Read Replies (1) \| Respond to of 28369

Friday, November 14, 1997 Court sends Bresea into receivership By CLAUDIA CATTANEO Calgary Bureau Chief The Financial Post The Alberta Court of Appeal sent Bresea Resources Ltd. into receivership yesterday, killing boss David Walsh's latest plan to turn it into an oil and gas company. But the court reserved judgment until a later date about whether Bresea should be assigned into outright bankruptcy. Bresea's sister company, Bre-X Minerals Ltd., went into voluntary bankruptcy last week. Trustee Deloitte & Touche has started collecting information about as many as 50,000 creditors around the world who lost billions after the company's gold deposits in Indonesia were found last spring to be a scam. Last week, Alberta Court of Queen's Bench Judge Robert Cairns left Bresea's future in limbo. While he ordered Bresea into the hands of receiver Price Waterhouse, with a mandate to put it into bankruptcy under trustee Arthur Andersen, he stayed his own order pending the outcome of the appeal. The receivership, while still short of what investors wanted, "means that investors can sleep better because they now know that all of the assets ... are under supervision, they are under protection," said Clint Docken, a Calgary lawyer representing Alberta investors. J. B. Rooney, a lawyer representing Walsh, had asked the court to keep Bresea alive because the company was not insolvent. With $26 million in cash, Bresea owns a building in Calgary valued at $2.3 million, assets in Indonesia worth another $2 million to $5 million, and has almost no debt. Bre-X's assets stand at US$5 million. The company was worth $6 billion in market capitalization at its peak.