Bancolombia's Announcement Related to Judicial Action Taken by Civil Circuit Court of Bogota, Colombia
December 02 2009 - 5:25PM
PR Newswire (US)
MEDELLIN, Colombia, Dec. 2 /PRNewswire-FirstCall/ -- Bancolombia
announces that: 1. The Colombian 15th Civil Circuit Court of Bogota
(Juzgado 15 Civil del Circuito) has issued a preliminary injunction
seizing COP 56 billion held in one of Bancolombia's accounts with
Colombia's Central Bank, and certain furniture, fixtures and one
real estate property. 2. These measures do not have any effect on
the Bank's normal business operations, and our account at the
Colombian Central Bank, including all remaining funds, remains
active and available. 3. This controversy will be addressed in the
judicial arena. Accordingly, we will present a performance bond and
will use all legal means available to defend Bancolombia in this
process, as we are confident that we have proceeded correctly with
regard to the matter in question. 4. This injunctive relief is
based on an award issued in connection with a class action promoted
by Mr. Luis Alberto Duran. It is important to note that Bancolombia
fully complied with the award by paying the required amounts to the
relevant stockholders party to the class action and all those who
came forth within the term established by law. 5. If this
injunctive relief was granted in connection with any legal action
taken by stockholders that did not participate in the class action
or that did not register their interest within the term established
by law, their action would not have been filed in a timely manner
and would not have any legal basis. While we are still
investigating, if this is the case, we will present this argument
to the presiding judge. 6. Additionally, if among the plaintiffs
there are stockholders who were already paid in connection with
previous legal actions indemnity, their pretensions would also lack
any basis, and consequently, the Bank would use legal means to
challenge such allegations. 7. The measures adopted by the
Colombian Civil Circuit Court are disproportionate in relation to
the matters that are currently the subject of the controversy. 8.
Finally, the Bank is considering taking penal actions for abuse of
law and for all the irregularities that have occurred in this
process which has extended for more than 10 years. Bancolombia and
its directors reiterate their intention to continue acting, as they
have done through all these years, with complete transparency and
full compliance with applicable law. We are confident that our
legal position will completely clarify this situation. Contacts
Sergio Restrepo Executive VP Tel.: (574) 4041424 Jaime A. Velasquez
Financial VP Tel.: (574) 4042199 Juan E. Toro IR Manager Tel.:
(574) 4041837 DATASOURCE: Bancolombia CONTACT: Sergio Restrepo,
Executive VP, +011-574-4041424, or Jaime A. Velasquez, Financial
VP, +011-574-4042199, or Juan E. Toro, IR Manager,
+011-574-4041837, all of Bancolombia Web site:
http://www.bancolombia.com.co/
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