May hearing for Montana Inquiry

By Phil Boeyen, ShareChat Business News Editor

Thursday 5th April 2001

The hearing into Lion's (NZSE: LNN) purchase of Montana (NZSE: MON) shares earlier this year will be heard early next month.

The Montana Standing Committee says it has met with counsel for Allied Domecq, Credit Suisse First Boston, Lion Nathan and Montana and has made good progress on the ongoing procedure for the inquiry.

The committee is seeking to decide whether Lion Nathan breached NZSE rules in transferring or agreeing to transfer shares in Montana before it was allowed to do so when it raised its stake to a majority shareholding in the winemaker in February.

Key transcripts of conversations between broker CSFB and its clients on the evening of Thursday, February 8th are due to be available to the committee by next week.

The committee will study the transcripts to see what kind of commitments, if any, were made for the sale of Montana shares on the Thursday evening in question. Lion did not have sharemarket permission to begin buying shares until Friday.

Because of the desirability for a decision as quickly as possible the Standing Committee and counsel say they have set the weekend of 5 and 6 May for the hearing of arguments in the case.

Comments from our readers

No comments yet