26th Feb 2016 15:03
LONDON (Alliance News) - Minds + Machines Group Ltd Friday said its former chairman has launched a lawsuit against the company concerning shares that were issued to him back in 2007.
Minds + Machines has been served a notice of a pending lawsuit initiated by Fred Krueger in Los Angeles in California, US, relating to 5.0 million shares in the company that were issued to him.
The company did not reveal any further details but said the claims were "without merit", adding it will "respond accordingly".
Krueger, one of the founders of the company, stepped down as executive chairman of the company when it published its 2014 full year results in May last year to focus on his other business interests.
Krueger, who held the role from 2009, was replaced by Keith Teare, who in turn was replaced by current Chairman Guy Elliot in January.
Krueger resigned claiming the company had reached a pivotal point, stating that the next stage of the company's development needed to be decided by one person, either him or the other founder of the company, Antony Van Couvering.
When he left the business, he stated his plan was to retain the "vast majority" of his shares in the company for the long haul.
According to the company's website, Krueger is not one of its top nine shareholders, suggesting his stake is currently below 0.12%.
Minds + Machines shares were up 9.5% to 9.03 pence per share on Friday.
By Joshua Warner; [email protected]; @JoshAlliance
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