Alpha Resource Management Inc.

October 24, 2013 06:00 ET

Alpha Resource Management Inc.: David Richard (Rick) Brown and Americas Now have Been Served a Notice of Civil Claim Over the New Sprott and Zijin Offshore Global Mining Fund

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 24, 2013) - Alpha Resource Management Inc., announced today that a Notice of Civil Claim has been filed in the Vancouver registry of the Supreme Court of British Columbia against David Richard (Rick) Brown and his company, Americas Now Resource Investment Management Corp (Americas Now).

In March 2013, Sprott Inc., (Sprott) and Zijin Mining Group Company Limited (Zijin) have launched a new offshore global mining fund (the Fund) to invest primarily in the publically listed equity and debt instruments of gold, other precious metals and copper mining companies. Under a joint venture agreement, Americas Now will provide technical and marketing services to the Fund.

In its lawsuit, Alpha claims that Brown, while serving as a Director and Officer of Alpha, appropriated the corporate opportunity represented by the joint venture for himself and Americas Now, and excluded Alpha, in breach of his duties owed to Alpha. Alpha seeks an interim and permanent injunction against Americas Now's further participation in the joint venture and a full accounting of all funds and other benefits received by Brown and Americas Now from the joint venture.

Basil Botha, a Director of Alpha stated: "Alpha takes these allegations very seriously and we will prosecute our claims against Mr. Brown and his "new" company, Americas Now, to the full extent of the law."

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