Homburg Group starts lawsuit against Dutch state

The Homburg International Group in liaison with the Foundation Support Homburg Bond Claim will be commencing a lawsuit in Canada this summer against the Dutch State, the AFM (Autority Financial Markets), DNB (De Nederlandsche Bank) and DTA (Belastingdienst).

The basis of the lawsuit is the fact that on September 9, 2011 actions of the AFM, DNB and DTA forced the TSX listed (Canada) and Amsterdam listed Homburg Invest Inc. (HII) into a CCAA proceeding, with the result that more than 9,500 investors (especially from the Netherlands) in HII’s bonds experienced a substantial loss in their investment. A CCAA proceeding is similar to the Netherlands creditors protection proceeding. HII investors would include the holders of Homburg Mortgage Bonds, Corporate Bonds, Homburg and Homburg Capital Securities A.

After months of investigation, the Homburg Group has concluded that there is convincing evidence to prove that actions of AFM, DNB and DTA were in excess of their authority, contrary to Canadian law and wrongly forced HII into a CCAA proceeding. The Canadian lawyers for the Homburg Group in Canada, have formally advised that they can establish a forceful case in court that AFM, DNB and DTA have committed torts and should be required to pay damages to the investors equal to their losses. Investors are expected to recover the loss of their original investments. The total damage suffered by bondholders of HII depends on many factors but is very substantial. It is conservatively estimated at greater than €100 Million.

In Canada the lawsuit will be brought in the Supreme Court of Nova Scotia, by Chairman Richard Homburg and by companies of the Homburg Group, the business conglomerate controlled by him. The torts that will be prosecuted in the lawsuit are 'abuse of authority' and the use of 'unlawful means' by a foreign power acting extraterritoriality to engage in the commercial activity of trying to control the business affairs of a Canadian company. The lawsuit will be filed by lawyer Ian A. Blue, Queen’s Counsel, of the renowned law firm Gardiner Roberts LLP in Toronto.

Because most the of bondholders in HII are based in the Netherlands, Foundation Support Homburg Bond Claim, located at Schiphol, has been established for this lawsuit. Through advertising and a dedicated website (www.homburgbondclaim.nl) investors who have suffered losses, will be invited in the coming days to take part in these legal proceedings.


Not for publication

The Canadian based Homburg International Group is involved in various and diversified business interests and divisions including real estate investment and management, property management, retail, education, hospitality, restaurants, and other business interests worldwide
1741 Brunswick Street, Suite 600. Halifax, Nova Scotia, Canada.
Website: www.homburg.com

  

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