9th July update following AGM:

As written by one of the SORT Campaign members - what you should be reading in the newspapers:

HUMILIATION FOR CHAIRMAN ROSS AT AGM

At Cosalt’s hastily convened AGM, held on 28/06/12, Chairman David Ross was forced to vote for himself in order to retain the chairmanship of the company. It has emerged that once Ross’s votes are stripped out of the count, only one half of one percent of shares voted in favour of the five resolutions tabled.

Whilst remaining chairman of Cosalt, David Ross is also engaged in an ongoing campaign to take the company private – he has so far declined to comment on what the vast majority of small shareholders perceive as a clear conflict of interest and breach of fiduciary duty.

Other serious questions are now being raised about the manner in which Mr Ross is conducting himself at Cosalt: On 30/04/12, the last day before the company report and accounts became due, Dolores Douglas, the company’s CFO resigned without signing off on the Company Report and Accounts. The Company Accounts subsequently became overdue and Mr Ross’s ongoing failure to sign them off and release them has resulted in the suspension of Cosalt shares. When asked by shareholders to explain this apparent breach of fiduciary duty, the company states that it cannot sign off on the Accounts owing to uncertainty over ongoing funding. Although the company is not specific, it appears that this uncertainty relates to loans provided by Mr Ross. Small shareholders therefore argue that Mr Ross can use this particular device to hide the accounts from them ad infinitum. Mr Ross is also continuing to refuse to appoint any independent directors to the Board. When asked by shareholders to explain this apparent breach of fiduciary duty, the company says that under the rules it is entitled to “comply or explain”, and when asked by shareholders where they might find the explanation for non-compliance, the company responds that the requirements state only that the explanation must appear within the Company Report and Accounts – the self-same Report and Accounts which the company is refusing to publish.

Across the country, unhappy at their treatment at the hands of Mr Ross, over 100 disaffected Cosalt shareholders have complained to their respective constituency MPs. Responding to the widespread concern being expressed about this matter, Dan Rogerson…

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