RE: RE: why .13 cents drop?v3T3DInteresting to say the least !!
https://www.vancouversun.com/business/Coastal+Contacts+sues+former+executive/3050893/story.html
Coastal Contacts is suing a former executive for trying to buy outits Swedish subsidiary while the man was working for the company and wasa director of Coastal.
The claim involves Vancouver-basedCoastal's subsidiary, which carries on business as Lensway.
In astatement of claim filed this week with the British Columbia SupremeCourt, Coastal alleges that Daniel Muhlbach, while he was a managingdirector of Lensway and a director of Coastal, recruited fellowemployees to make an unsolicited offer to buy all the outstanding sharesof the company. Muhlbach also allegedly provided confidential financialinformation and trade secrets about the company to third parties,including private equity firms and lenders, and met with those firms andlenders to get them to fund the offer. The statement of claim alsoalleges that Muhlbach artificially suppressed sales revenue and profitsin order to obtain a more favourable selling price.
As a result ofthese actions "Muhlbach has breached his fiduciary duties and allowedhis personal interests to conflict with those of Coastal bysurreptitiously conspiring to effect his acquisition (together withothers) of all of Lensway's issued and outstanding securities," thestatement of claim alleges.
As a result of Muhlbach's actions,Coastal says it has suffered irreparable harm and monetary loss.
Noneof the allegations in the Statement of Claim have been proven in court.
TerryVanderkruyk, Coastal's vice-president of corporate development, saidthe company decided to take legal action because it felt it needed toprotect the company and the interests of its shareholders.