Ann: Operational Update, page-73

I think that you can only nail a management for deliberately misleading SH's or simply not disclosing issues as (or close to) when they occur - you can't legislate against things going wrong, the weather or even incompetence. You certainly can't take a body to court and hope to or continue to invest for losing money on a risk investment such as shares particularly in a speccie gold mining developer with a track record such as OBM after they came out of Eastern Goldfields failure - it's buyer beware. Compared to Eastern Goldfields OBM have done well to get the plant up and working to close to nameplate capacity even though it took them a long time. Assay material was in the public domain (and done in an independent lab) and as problems occurred SH's were informed in quarterlies and operational updates - it was however bad news. I guess we should have either got out and either take the loss (and blame ourselves)or if we stayed in recognize the risks in buying more at low prices with the hope of a turn around - I've done a bit of both - the secret is to get in (or out) gradually so as to limit the loss to what you can afford to lose (and be happy if you gain - that may offset a loss elsewhere). Gain is NOT guaranteed - if you want that then use a term deposit (with a guaranteed loss due to inflation).

To me this issue of disgruntled SH attempting to recover their loss is at best a distraction for the company and at worst destructive of a company which still has a good chance of a turn around and is currently ridiculous cheap - you really can't sue the bookie when your horse loses but you can if the bookie steals your money and that's not what happened with OBM.