Fareport Capital Inc.

Fareport Capital Inc.

April 04, 2006 17:30 ET

Fareport Capital Inc. Update

TORONTO, ONTARIO--(CCNMatthews - April 4, 2006) - Fareport Capital Inc. ("Fareport" or the "Company") (TSX VENTURE:CAB) wishes to provide an update with regard to its compliance with Ontario Securities Commission ("OSC") Policy 57-603.

On March 20, 2006, the Company's audited financial statements and related Management Discussion and Analysis for fiscal 2004 (as restated) and fiscal 2005 were filed on the System for Electronic Document Analysis and Retrieval ("SEDAR"). The Company is currently working on financial statements for the first and second quarters of fiscal 2006. Management has indicated that it plans to report these interim results within 60 days in order to process the backlog of transactions due to the delay in reporting the audited year-end financial statements. In order to improve the Company's reporting capabilities, new and more effective accounting systems and procedures are being implemented to accommodate the large volume of transactions processed by the Company in the normal course of its business. Management expects that these changes will strengthen the Company's financial controls and lead to timely financial reporting.

Furthermore, the imposition of a temporary management and insider cease trade order (the "MCTO") pursuant to OSC Policy 57-603 continues to be in effect. The MCTO prohibits present and certain past directors, officers and insiders of Fareport from trading in securities of Fareport.

In addition, with respect to the previously announced agreement to settle the civil claim against Fareport's former management, advisors and certain investors, all parties and legal counsel are currently finalizing the revised agreement for execution.

Fareport will continue to provide updates on these and related matters in accordance with OSC Policy 57-603.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Fareport Capital Inc.
    Mr. Lou Elmaleh
    Chairman and Chief Executive Officer
    (416)750-1167 Ext. 400