Cordoba Minerals Corp. (TSX-V:CDB; OTCQX:CDBMF) is providing this update regarding its business activities in Colombia.
On June 26, 2018, the Company terminated the employment contract of Ms. Claudia Herrera, the former President of the Company’s Colombian subsidiary, Minerales Cordoba S.A.S. (“Minerales”). Following her termination, new management of Minerales discovered a number of financial irregularities, and suspected misappropriated payments and other transactions in Colombia which were completed while Ms. Herrera was the President. Cordoba commenced a review of these transactions, and as a result, it was also discovered that other members of the former Colombian management of Minerales were involved in the transactions as well.
As a result of the ongoing review, Cordoba filed criminal law suits in late 2018 and in January 2019 with the Colombian prosecutors against nine members of former Colombian management alleging breach of fiduciary obligations, abuse of trust, theft and fraud. The Colombian prosecutor service will determine if any formal charges should be laid. The Company is also seeking civil damages against some of these individuals. The monetary amounts alleged to have been taken are not yet finally determined, but are currently expected to be in and around US$500,000.
Cordoba is continuing its detailed review of these matters and has retained a forensic auditor to further that review. Cordoba will update the market accordingly.
All of the Company’s mining titles, applications and operations in Colombia remain in good standing.
For more information please see Cordoba’s news release.