Barisan Gold advised of lawsuit withdrawal
Friday, June 1 2012 - 03:04 AM WIB
Previously, in its release dated December 9, 2011 Barisan Gold Corporation informed its shareholders that it had been advised that PT Linge Mineral Resources ("PTLMR"), PT Gayo Mineral Resources ("PTGMR") and East Asia Minerals Corporation ("EAMC") had been named as defendants and Barisan Gold as a co-defendant in a civil case claim filed by PT Atlas Mineral Exploration ("PTAME") in the Central Jakarta District Court. PTAME is an Indonesian company that owns a 12% direct equity interest in each of PTLMR and PTGMR. Barisan Gold is the majority shareholder of PTLMR and PTGMR with an 80% direct equity interest in each company. PTAME is majority owned by a relative of a previous consultant to EAMC who left EAMC in October 2010.
PTAME approached PTGMR and PTLMR asking that its 12% equity interest in both companies be acquired. When Barisan Gold and PTAME could not agree on reasonable terms, including a price fair and reasonable to Barisan Gold for the sale of the interests held by PTMAE, PTAME filed this action.
The claim filed by PTAME purported to challenge the asset transfer process by which EAMC transferred its 80% direct equity interest in PTLMR and PTGMR to its wholly owned subsidiary, Barisan Gold. Barisan Gold strongly believed the claims were clearly without merit and intended on defending against the frivolous lawsuit. The company had received legal advice confirming that the transfer of PTLMR and PTGMR from EAMC to Barisan Gold was legally executed in accordance with Indonesian law. Barisan Gold, its subsidiaries and EAMC intended to file their own claims and to seek maximum damages from PTAME under Indonesian law in response to that claim and had engaged the services of Fredrik J. Pinakunary Law Offices and Bahar & Partners as Indonesian legal counsel with regards to this matter. (ends)