15:28:59 EDT Sun 05 May 2024
Enter Symbol
or Name
USA
CA



Canaf Group Inc
Symbol CAF
Shares Issued 47,426,195
Close 2010-12-15 C$ 0.06
Market Cap C$ 2,845,572
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Canaf countersues former director Jefferson

2010-12-20 17:35 ET - Street Wire

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by Mike Caswell

Canaf Group Inc. has filed a countersuit against its former director, Brad Jefferson, in which it claims that he inappropriately billed the company $210,000 for drilling and that he misappropriated a company asset. The counterclaim comes in response to a suit that Mr. Jefferson filed against Canaf in November, in which he said that the company owed him $100,000.

The dispute began on Nov. 3, 2010, when Mr. Jefferson filed a brief notice of civil claim (formerly known as a statement of claim) against Canaf in the Supreme Court of British Columbia. In it, he said that Canaf had agreed to pay him $210,000 in 2008, when he resigned as a director, but he only received $110,000.

The suit contained few details, including the reason for the payment. Mr. Jefferson sought damages for breach of contract, plus court costs and interest. The suit was filed on his behalf by Garth McAlister of Vancouver law firm McAlister Hallam.

Canaf's response and counterclaim

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What a bunch of useless amateurs, these idiots couldn't even keep proper accounting records and verify expenditures at the time they were made.

Posted by Canaf Group of Losers at 2010-12-21 12:30

This case dates back to when Canaf was UGM.....none of the current board were involved in the failed exploration of Kilembe....seems to me the current board are tidying things up! Jefferson deserves nil!

Posted by Wiseman at 2010-12-22 11:06

Not only does Jefferson deserve nil, the securities exchange should investigate activities at Kilembe Mine back in 2004 - 2006 when his drilling company was doing work at kilembe mines while he was a director of UGM and and its subsidiary Rwenzori Cobalt. A flagrant conflict of interest as his company - East Africa Drilling - was the only contractor that did the drilling and no tender process was applied. He grossly overcharged UGM and most of the exploration budget ended up in his pockets. Jefferson more or less ran the entire Kilembe field project (Beaton and the geologists were under his thumb) thereby siphoning off most of the exploration budget into his own soley owned drilling company. UGM shareholders got screwed. This is just one example of many. He should be investigated by the securities commission.

Posted by Highball Driller at 2010-12-28 13:49

Before making accusations of individuals, one should know the facts. Jefferson, a director, had disclosed he was the owner of the drill, he also was at arms length in any decisions being made .The qualified geologist who ran the program scrutinize all costs to make sure they were accurate then all invoices were sent to Vancouver’s office to be cleared by the CFO, CEO, and Chairman of the board .The CEO made the decision to drill and to continue drilling, which was correct or the agreement with Kelimbe Mines would have been in jeopardy .These members of the board of UGM are very reputable people and would not jeopardize their reputation on any wrong-doing to over seeing the project and keep the project operating. Note: new board of directors of CAF have no knowledge of the past of UGM, just making acquisitions of false information. Note: Beaton was not involved in the decisions. From my sources it was the only drill in the country and to try and have one ship in was not feasible or cost efficient as UGM would have had to commit to a set amount of meters to be drilled.UGM did not have this kind of money, nor did they have the money at the time to pay the drilling. It was on good faith that funds would be raised; ask yourself which company would bring a machine in to only hope to be paid? You can see years later, Jefferson negotiated a lesser amount and still did not get paid. Who drills for free? Note: The drilling company used all it parts and rods, which were completely worn out. The machine was run to the ground at E.A.D’s expense as there were no funds to maintain it properly. I have been told that the company only wished it never entered into any dealings with UGM. Never mind the loss it took, but the slander put out by new board members of CAF new nothing of the past; with out the drill there was no project ,it was all about trying to double the reserves and re-start the mine. All options were looked at and the time to ship a machine into Uganda and to have it cleared through customs would take six month or more. UGM underwent this exercise and it was very time consuming. Note: if Jefferson did not have his machine in Uganda, UGM would have been in default under the option agreement and the deal would have been nullified, UGM had to prove further reserves to earn it’s earn- in. Clearly, we can see who got exploited. Further investigations tell me that Bonaparte was staked by one of the geologist of the company, at very little cost to UGM . If the property was worth significant value, then why was it free to just stake the claim? I am sure someone would not have let it elapse! UGM tried for a JV or to sell the property for many years , UGM had one deal; for only the partner to drop it. Due to the fact, that their findings did not interest them . UGM failed for many years to get an interested partner or to find a buyer. To this date there has been no reserves proven with several companies before UGM,S time also failing. Note: Canaf should get their facts straight before making false information and printing such acquisitions on Stock Watch. Jefferson has never received that kind of money or any shares for 83% of the property, he only hope to be a part of the exploration program. I have been told still to this date no reserves have been found. One would think to claim slanderous remarks without proper due diligence wonders who is running this company.

Posted by The Source at 2011-01-12 20:40

Out of frustration I post a comment in response to the unprofessional dramma unfolding here.

I have been a shareholder of CAF for sometime.The competence of the Board of Directors is questionable. Gold,silver and copper have been at historical highs. Why has CAF been so lax on initiating any new projects during such an opportunistic time for venture companies?

Furthermore, after reading the news release concerning a countersuit against a former Director I am further baffled by the fecklessness of these company heads.The information in the news release appears inflamatory and conjectural.Only professionaly written facts should be presented in the text of the news release. Not speculation and, what appears to be,defamatory comments about the actions of the previous Director. (see the link half way up this page titled University of Ottawa...) CAF may well be paying Mr.Jefferson restitution for defamation of character and injury to dignity,if the slights printed are unfounded, rather then providing capital for projects. It is clear by reading comments from other people who have posted here that this release has in some way tarnished Mr.Jeffersons reputation without a court proceeding.

Too add, my interests in the affairs of CAF are from the position as an investor.I am hard pressed to ever see a return on my investment when CAF representatives are flippant in their conduct when managing this company.I am grateful there has been some limited trading with this dormant company. I managed to shed some shares,at a loss,for year end tax purposes.I still hold far too many shares in this company and my optimism for this sleeper to awaken is diminishing as quickly as the boards effectiveness.

Posted by Frustrated Investor at 2011-01-17 05:28


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