5th May 2015 09:16
LONDON (Alliance News) - Asia Resource Minerals PLC Tuesday said its Indonesian subsidiary has had its shares suspended after the company's former chief executive released "misleading announcements" about the subsidiary despite leaving the company.
Asia Resource holds a 84.7% stake in PT Berau Coal Energy Tbk, which is the holding company of the
concession area in East Kalimantan, which contains the company's main producing Lati, Binungan and Sambarata mines.
PT Berau shares were suspended after former Asia Resource Chief Executive Amir Sambodo issued "misleading announcements" on behalf of PT Berau into the Indonesian market regarding the results of an extraordinary general meeting that was held at the end of April.
Sambodo handed in his resignation to Asia Resource on March 25, before releasing the "misleading" news into the market, Asia Resource said. The company added that Sambodo was responsible alongside Ari Ahmad Effendi, who "is invalidly purporting to act as the corporate secretary of PT Berau".
At PT Berau's EGM held on April 30, all resolutions were duly passed and the meeting was conducted "in good order".
Asia Resource said as a result of the meeting, Mangantar Marpaung was appointed as the new president commissioner, replacing Bob Kamandanu, and Iskak Indra Wahyudi was appointed as the new president director to replace Sambodo. Melli Darsa was also appointed as a new commissioner.
"The company has received Indonesian legal advice that all resolutions proposed at the extraordinary general meetings were properly and validly passed and allegations of the invalidity of the meetings are flatly denied," said Asia resource on Tuesday.
The company said the meetings were held with the assistance of a notary, legal consultant, and the company's share registrar, all of which are all registered with the Indonesian Financial Services Authority. Asia Resource said the notary's minutes from the meetings are expected to be filed shortly.
"The Indonesian Stock Exchange has, however, taken the view that the conflicting statements being issued is creating confusion in the Indonesian market, and has taken the step of suspending trading in the shares of PT Berau," said Asia Resource.
"The company is confident that the situation described above will shortly be resolved and that this will result in the resumption of trading in the shares of PT Berau," the company added.
"The company continues to take all reasonable steps available to assert and enforce the results of the extraordinary general meetings of PT Berau and the company's procedures, systems and controls in relation to PT Berau, especially in response to the recent conduct of Messrs Sambodo and Effendi in purporting to seek to continue to speak and act on behalf of PT Berau, which the company has been advised, and itself considers to be, quite contrary to law," said the company in a statement.
Asia Resource shares were down 2.8% to 35.72 pence per share on Tuesday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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