Excellon executives are great at protecting their own salaries and privileges while putting the company’s shareholders and other subsidiaries at risk.
In Excellon Resources' official statement dated August 10th, 2021 regarding the lawsuit in Mexico, their CEO, Brendan Cahill states that the plaintiff has no legal action against Excellon or its other subsidiaries, which is completely false.
For the last 10 years the company’s directors have hidden the existence of a lawsuit from their shareholders. Their first official statement was published until December 5th, 2019, when the final sentence had already been issued and the plaintiff had been awarded an amount of 23 million dollars in damages, an amount that increases monthly as the company refuses to pay.
Excellon’s directors have failed to report that two weeks ago, San Pedro Resources’ banks received a judicial notice requesting the subsidiary’s accounts to be frozen. San Pedro Resources has a bank account that used to handle millions of dollars and now currently only holds $131.00 American dollars. Another account currently only holds around $138.00 American dollars, an amount that equals only 84 Excellon shares[1]. If the subsidiary is really working under such financial conditions, they won’t be able to pay taxes, workers, and suppliers, which makes us wonder how they are able to handle such matters without any money in their bank accounts.
Excellon’s directors have not informed their shareholders that they are currently managing San Pedro Resources without any money in their bank accounts.
These fraudulent actions that Excellon has carried, like avoiding the payment of a sentence in a foreign country, not only have criminal liabilities for managers and administrators but they also smear the reputation of the company and its directors.
This financial strategy that Excellon’s directors have adopted allows for the CEO and his directors to continue to receive their own high salaries on time, while making their creditors and shareholders lose money and forcing them to demand their rights.
Since Excellon directors’ statement issued on August 10th, 2021, they have only lied and hidden information from their shareholders. They affirm that Excellon is the sole owner of the processing plant and the mining concession; however, they fail to mention that the plaintiff continues to own the mining lot and that all the mining works and infrastructure are located on such lot. In this sense, it turns out that the location of the plaintiff's property is strategic for Excellon projects in Miguel Auza, including the Evolution project.
This is the actual way that Excellon operates in other Countries. It shows how it has been managed by its directors in order to avoid their own responsibilities and shows how they are only concerned with protecting their own salaries by lying, hiding information and taking risks that have caused catastrophic damages to the value of the company’s shares.
[1] As valued on September 30th, 2021
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