Co. response to Pete's suitMediterranean Announces Response to Lawsuit Filed by Former CEO
Vancouver, B.C., April 26, 2011 - Mediterranean Resources Ltd. (TSX: MNR; Frankfurt: MHM1) ("Mediterranean") announces that the Company has filed a Response and Counterclaim on April 21, 2011 to the Notice of Civil Claim filed against Mediterranean by its former CEO and President, Dr. Peter Guest, on March 28, 2011, in the Supreme Court of British Columbia. As noted in the Company’s news release of March 31, 2011, Dr. Guest's employment agreement with the Company was terminated for cause on March 15, 2011, and he voluntarily resigned as a Director of the Company on March 17, 2011.
It is Mediterranean’s position that Dr. Guest's claims against the Company have no merit or foundation and the Company intends to fully defend itself in this matter.
The Counterclaim is based on allegations of tort, breach of contract and breach of fiduciary duty in relation to Peter Guest’s activities as a former officer and director of the Company. The counterclaim further alleges conspiracy against Peter Guest, his wife Dr. Cheryl Guest, and her business entity 494361 B.C. Ltd., in relation to payments made to Cheryl Guest for expenses unrelated to the Company’s business.
Mediterranean is being represented in this matter by Kevin O'Neill of Fasken Martineau DuMoulin LLP, Barristers & Solicitors.
APPARENTLY RBC THINKS PETE MAY BE RIGHT? Dumping today. (hard to prove malfeasance....they'll prob settle out of court and Pete will go away....futher depleting co's dwindling cash....frozen mango anyone?