Concerned Augen Capital Shareholders

September 10, 2010 12:53 ET

Shareholders Seek Judicial Recount of Unfair Vote

TORONTO, ONTARIO--(Marketwire - Sept. 10, 2010) - Augen Capital Corp ("Augen Capital") shareholders holding the majority of votes cast at the Augen Capital annual meeting on September 8th (the "Augen Shareholders") are shocked that Augen Capital management has sought to disenfranchise them. The Augen Shareholders have therefore today made application to the Ontario Superior Court of Justice (Commercial List) to protect the integrity of the voting process and to declare their slate of directors as elected. The Court has scheduled this application to be heard on September 23, 2010.

In connection with the meeting, Augen Shareholders, representing approximately 8.3 million shares, appointed David Mason as their proxy. Management proxies totaled approximately 6 million shares. The Augen Shareholders duly voted to install a new board to represent the best interests of all shareholders. The chair of the meeting, himself a management nominee, ruled that approximately 42% of the 8.3 million Augen Shareholder shares were not eligible to be voted. When pressed to explain, he refused. 

The Augen Shareholders are asking the Court to overturn this ruling, as it appears to eviscerate the stated intentions of the majority of shareholders, including the disenfranchised shareholders holding 3.5 million votes. The Augen Shareholders have already cautioned the directors who are purporting to have been elected from taking any steps relating to the company's assets, including its holdings in Augen Gold, pending the judicial process. 

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Contact Information

  • Concerned Augen Capital Shareholders
    J. David Mason
    416-915-4231 reception and voice mail
    dmason@augengold.ca