Looks like Management have decided to mention the legal proceedings against them in this report finally. Good that they are not keeping shareholders in the dark any more Claims are for 1. Tortious Conspiracy 2. Misleading and deceptive conduct 3. Breach of contract It would be useful for shareholders to understand the size of those claims so that the risk can be determined and therefore the uncertainty attached to going to trial. Settlement of the above will help to provide certainty to potential upcoming capital raise participants and encourage short sellers to cover IMO
GLTAH
13. Contingent liabilities The Company is defending legal proceeding CIV 2016 of 2020 in the Supreme Court of Western Australia (Proceeding) commenced by Roseland Capital Pty Ltd and Mr Murray Ward (collectively, the Ward Parties). The Ward Parties claim that the Company is liable to pay amounts under an alleged contract. They also seek damages from Neometals for alleged breaches of contract, breaches of the Australian Consumer Law, and tortious conspiracy. The Ward Parties’ claims relate to the Mt Marion Lithium Project Offtake and Equity investment by Ganfeng Lithium in 2015. The Company denies any liability and that the Ward Parties are entitled to the relief claimed or any relief. It considers that the Ward Parties’ claims do not have merit. The Company will continue to defend the Ward Parties’ claims vigorously. As at the date of this report, the Proceeding remains on foot and a date is yet to be set for trial. An estimate of the financial effect of this matter has not been provided by the Company because it is not practicable to do so.
NMT Price at posting:
67.5¢ Sentiment: Hold Disclosure: Held
