Former Columbus Networks Corporation CEO, Daniel Collins has judgment against him for $380,456.87 USD from Nevada State Court.
KELOWNA, B.C., Jan. 8, 2009 -- A Carson City Nevada Judge has granted a judgment against Daniel Collins for breach of fiduciary duties. According to the judgment, “Collins’ essentially went out on his own trying to unwind the RTO (Reverse Take Over) transaction without appropriate authority from the shareholders, and he did things he should not have done." The judgment also states, “Collins conversion of the Corporation's funds for his own use is part of his breach of fiduciary duty”. It continues “With respect to monies that Collins took from the Corporation after July 2004, these amounts are awarded in full, as the money belongs to the corporation and it was inappropriately diverted.” Also stated, “In short, Collins breached his fiduciary duties to the Corporation”.
All six of Daniel Collins’ counter claims against the Directors of the Corporation were dismissed. The judgment states, “The Court concludes that the Defendants (Collins) have not provided sufficient evidence in support of their claims and/or or affirmative defenses.” As for Collins’ defense, “The court concludes that all six of the Defendants Counterclaims shall be dismissed.”
This judgment provided damages for:
- Breach of fiduciary duties at $56,486.07 USD
- Collins’ conversion of the corporations' property $147,795.16 USD
- Amounts taken by Collins after his termination of $26,306.05 CDN
- Checks diverted from the Corporation or from diversion to P.O. Box by Collins of $32,396.67 CDN and $4,587.00 USD
- Legal Costs of $17,612.19 USD
- The amount of prejudgment interest owing on the amount of the Judgment is $86,918.87 and the amount of post judgment interest owing on the amount of the Judgment as at October 28, 2008 was $11,191.30, and post judgment interest continues to accrue at a rate equal to the prime rate as set by the laws of Nevada.
The amount of $380,456.87 in U.S. Dollars, representing the amount owing on the Judgment, inclusive of prejudgment and post judgment interest to October 28, 2008 and costs. Interest continues to accumulate daily on the outstanding balance.
The Corporation has not been able to obtain any response from Collins with respect to collecting on the Nevada judgments. Therefore the corporation will continue to pursue him and will take the necessary steps to ensure the entire amount is paid in full. On November 27, 2008 the Corporation filed action against Daniel Collins in the Supreme Court of British Columbia, Kelowna Registry Action Number 81117.
The Corporation is actively seeking Daniel Collins for the purposes of collecting on the judgment and would welcome any information on his whereabouts. A copy of both Nevada Judgments (breach of duty and costs), will be provided for all shareholders and is located on the Columbus Networks website (www.columbusnetworks.com) under the News section.
About Columbus Networks
Columbus Networks offers web-based applications to facilitate recruitment in the education sector using technology and the Internet to create extremely cost-effective, timely and easy-to-use recruitment solutions for both employers and employees. For the educational employer seeking to fill employment vacancies in teaching, administration and support staff positions, Columbus Networks offers a more sophisticated e-recruitment tool. Our clients are educational employers who include public schools and districts, private schools and institutions, colleges, universities and community colleges, across the continent and growing worldwide. Columbus Networks is headquartered in Kelowna, British Columbia, Canada. For additional information on Columbus Networks or their services visit http://www.columbusnetworks.com or call (250) 869-1612.
No Stock Exchange or Regulatory Authority has either approved or disapproved of this News Release.
This press release may contain forward-looking statements made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward looking statements involve risks and uncertainties, including without limitation continued acceptance of the Company's products, subscriber growth, product demand, competition, and other risks and uncertainties detailed from time to time in the Company's period reports.
Phone: (250) 869-1612