Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Rock Resources -- Ignore unavailable to you. Want to Upgrade?

To: the Chief who wrote (483)	12/7/1998 8:40:00 PM
From: Natedog	Read Replies (1) \| Respond to of 1996

President downplays investment management suit Rock Resources Inc RKR Shares issued 14,600,075 Dec 7 close $0.15 Mon 7 Dec 98 Street Wire by Brent Mudry Rock Resources president Thomas Kennedy faces a $35,000 suit stemming from alleged investment management activities relating to his previous position as co-chairman of the Workers Compensation Review Board. In a statement of claim filed Friday in the Supreme Court of British Columbia, Derrick Spooner, a former management representative to the WCRB, claims that Mr. Kennedy had a "small clientele" of board staff members. Mr. Spooner claims that throughout the period of time he worked with Mr. Kennedy, the lawyer and board chairman also worked as investment promoter of Vancouver Stock Exchange companies. "Kennedy advised Spooner that he had considerable knowledge and expertise in the stock market, and that he could manage the RRSP on behalf of Spooner," states lawyer Shayne Strukoff of Gowling, Strathy & Henderson. The suit notes that after Mr. Kennedy left the board, he continued to administer Mr. Spooner's investments. (Current WCRB chairman Michael O'Brien notes that Mr. Kennedy was vice-chairman seven or eight years ago. Mr. Spooner is now a commissioner of the Workers Compensation Board's appeal division.) "In or about March, 1997, without Spooner's prior knowledge or approval, Kennedy had somehow arranged for the transfer of 115,000 shares of Rock Resources, held in Spooner's account at Wolverton Securities, to one of his own accounts. Such conduct amounted to an improper conversion of Spooner's shares," states Mr. Strukoff in court filings. Rock shares traded at about 75 cents at the time. The suit also claims that in another transaction, Mr. Kennedy converted to his own use a $3,856 cheque from a brokerage for Mr. Spooner. Mr. Spooner claims Mr. Kennedy reneged on a March 13,1998, settlement agreement by only paying $5,000 of the agreed $40,000 by the Nov. 1 deadline. The suit seeks assorted damages. Mr. Kennedy told Stockwatch that "everything has been resolved by negotiation." "We are now just dealing with the resolution. . . I hope you leave it at that," he told a reporter. The Rock Resources president declined to comment on how many other WCRB employees he managed investment funds for. Rock's website notes that Mr. Kennedy served a six-year stint as a prosecutor with the federal Department of Justice and a nine-year tenure with the WCRB before becoming embarking on a third career as a Vancouver stock promoter. (c) Copyright 1998 Canjex Publishing Ltd. canada-stockwatch.com ******************