Calais Resources Update
July 23 2012 - 10:38AM
Business Wire
Calais Resources, Inc. (“Calais” or the “Company”) (Pink
Sheets: CAAUF), reports that on July 12, 2012, that Calais, its
directors and certain other parties were served on July 12, 2012
with a petition filed in British Columbia Supreme Court (Proceeding
No.S124698). In the petition, Union Mining Co LLC makes a number of
allegations primarily that the directors have issued shares
improperly and that a US$10 million promissory note which
consolidated a number of corporate debts going back to 2003 is
somehow invalid. Calais and the directors deny the allegations and
have retained legal counsel to defend the company and ourselves
against the erroneous and outlandish claims in the lawsuit and note
that the Plaintiff has an almost insignificant investment in Calais
and is believed to be bringing the petition against the directors
for ulterior motives related to a dispute regarding an ore milling
agreement involving Union and control of Calais' mining assets in
Colorado and Nevada. The transactions about which the petitioners
complain have all been fully disclosed in audited financial
statements and other SEC filings covering the period from May 31,
2005 forward available to anyone at www.sec.gov and at
www.sedar.com. A more comprehensive disclosure of the lawsuit and
the Company's defenses to it will be made in the next few days when
the Company's full defense and counterclaim is filed with the
Court.
David K. Young, the Company’s President and acting CEO, stated,
“The Board of Directors and Management are taking the legal action
very seriously and will reserve our rights and those of the
shareholders and vigorously defend our company and assets to the
fullest extent of the law in Canada and the US. I’d like to take
this opportunity to thank our loyal shareholders, our valued
vendors, and our dedicated employees. Calais Resources is committed
to continue to operate our company and gold and silver mining
operations in a professional and businesslike manner using best
management practices for the benefit of our shareholders and
employees.” Calais is making plans to hold a shareholders meeting
later on this fall. Details as to the date, time and place will be
announced soon.
About Calais
Calais Resources is a mining company in the exploration stage
which owns and operates the Cross and Caribou gold and silver mine
operations in Colorado and the White Caps gold mine operation in
Manhattan, Nevada. The Company has reopened the fully permitted
Cross Mine, which include resuming underground exploration and
preliminary production activities in Colorado and surface
exploration in Nevada. The Calais mining operations are fully
compliant with all US and the State of Colorado permitting agencies
and Mine Safety and Health Administration (MSHA) requirements.
NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain statements contained herein and subsequent oral
statements made by and on the behalf of the Company may contain
“forward-looking statements”. Such forward-looking statements may
be identified by words such as “intends,” “anticipates,”
“believes,” “expects,” and “hopes” and include, without limitation,
statements regarding the Company's ability obtain adequate
financing to repay the Brigus loan and advance development of the
Cross Mine. Factors that could cause actual results to differ
materially include, among others, those set forth in the Company's
Annual Report on Form 10-K for the fiscal year ended May 31, 2011
and other quarterly filings with the Securities Exchange Commission
(SEC) and SEDAR under the caption of “Risk Factors.” Many of these
factors are outside the control of the Company. Investors are
cautioned not to put undue reliance on forward-looking statements,
except as otherwise required by applicable securities statutes or
regulations.