9th Sep 2014 07:03
LONDON (Alliance News) - Quindell PLC Tuesday said it has received judgement in its favour in its libel action against Gotham City Research LLP, the short seller which in April published a critical 74-page report that led to a fall in the software, consultancy and technology outsourcing provider's share price.
In a statement, Quindell said the "process of the evaluation of quantum in damages" will begin at the end of November.
According to Quindell, libel proceedings were issued in the UK High Court against Gotham on behalf of Quindell and others on April 30.
The company said the High Court then granted permission for the claim form and particulars of claim to be served out of the jurisdiction on Gotham in the US state of Delaware. These were validly served on July 29, Quindell said.
According to Quindell, Gotham failed to provide either acknowledgement of service or a defence.
"We are pleased that following the co-ordinated shorting attack led by Gotham and others, we have been able to successfully win judgement from the High Court in our claim for libel against Gotham," Quindell Vice Chairman Tony Bowers said in a statement.
"Whilst it is disappointing that Gotham has not been prepared to submit itself to the scrutiny of the English Courts, we have consistently stated that we believe the Gotham publication was both defamatory and deliberately misrepresentative, and it is pleasing to receive validation of our claim and success in this matter. The company will continue to pursue actions of this type, where necessary, to protect its reputation and the best interests of its shareholders," Bowers said in the statement.
By Samuel Agini; [email protected]; @samuelagini
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