Tiger International Resources Inc. V.TGR.H

News Release

[dom1]

Tiger International Resources Inc (C-TGR) - News Release Tiger ordered to sell holding in Flinders Diamonds Tiger International Resources Inc TGR Shares issued 6,852,764 May 16 2003 close $ 0.15 Friday May 30 2003 News Release Mr. Patric Barry reports TIGER PERMITTED UNDER ORDER TO SELL FLINDERS DIAMONDS SHARES As an outcome of litigation between Tiger International and Flinders Diamonds in Australia, Tiger's holding of 17.29 million shares in Flinders Diamonds is to be sold through the Australian Securities and Investment Corporation and the proceeds delivered to Tiger International. The litigation evolved from Patric Barry, not Tiger, personally calling a special meeting last year to seek modifications to the management structure of Flinders Diamonds. Flinders alleged that in doing so that Mr. Barry and other defendants, including Tiger, were in breach of some sections of the Corporations Act. While this was denied, the judge preferred the local company's version of the facts and refused to allow a number of Tiger's submissions and testimonies as part of tigers defence, resulting in a judgment and divestiture order against the defendants, including Mr. Barry and Tiger. Tiger International is studying its appeal rights, however, Tiger's lawyers advise that should Tiger appeal and be successful that the finding of the court is either overturned or sent back to a lower court for retrial. The expense of this is daunting, but more importantly, the time aspect may be as long as a year before resolution is obtained with no guarantee of success for Tiger. The award that mandates the sale of the Flinders shares held by Tiger seems to be a convenient way for Tiger to liquidate an asset and replenish its treasury. All costs of the action against the defendants will be deducted from the sales proceeds of all defendants, and the amount to be eventually recovered from the sale of these shares is unknown. The most recent sales price of Flinders Diamonds shares was 7.5 Australian cents per share. Tiger's management had planned to distribute these shares to shareholders, and the order renders this moot. Tiger notes that the order cancels the escrow hold on the shares and anticipates that sales may commence within a few weeks.