3 Aug 2016 18:18
B.S.D. CROWN LTD - Update: Company’s deposits and cash held in AzerbaijanB.S.D. CROWN LTD - Update: Company’s deposits and cash held in Azerbaijan
PR Newswire
London, August 3
BSD Crown Ltd. (LSE: BSD)
(the “Company”)
Update re: Company’s deposits and cash held with a bank in Azerbaijan
Ramat Gan, 3 August 2016
Further to the announcement dated 26 July 2016 the Company wishes to update the market on recent developments in relation to the cash deposit (approximately US$13.6 million) (the "Deposit") held by the Company with The International Bank of Azerbaijan ("IBAR").
Following demands made by the Company to IBAR, documents purporting to relate to the Deposit have recently been received from IBAR, indicating that since 2013, the Deposit has been allegedly used as collateral for loans taken by Israel 18 B.V. (“Israel 18”), the controlling shareholder of BGI. These loans pre-date the control change in Israel 18 and the current period of ownership of its controlling shareholder.
To the best of the knowledge of the Company, it has never agreed to use such Deposit as collateral or as a guarantee in favour of any third party, nor was any alleged claim ever mentioned by IBAR. Furthermore, the Company has in its possession contradictory documentation.
The Company has instructed its lawyers to act, on its behalf, in order to explore and pursue all courses of action and rights regarding the Deposit. Once such matters have been clarified, the Company will consider the consequences on past audited financial statements of the Company.
A further announcement will be made in due course.
The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
Enquiries:
Gregory Gurtovoy, chairman of the board: office@bsd-c.com