Shareholders hire law firm to probe Guyana Goldfields

A Toronto, Canada law firm with offices in Detroit, Michigan, US, says it has been hired to investigate the Guyana Goldfields Inc. to determine possible misrepresentation in a recent report to shareholders.

According to a statement issued and distributed by www.businesswire.com, Morganti & Co. disclosed that it has been contacted by investors to investigate Guyana Goldfields, Inc. “whether it released misrepresentations about its operations at the Aurora Gold Mine in order to artificially inflate its perceived investment quality and corresponding share price.” The Aurora Mine is in Region Seven, near the Cuyuni River, and is the country’s largest gold operations. It is being operated by mainly Canadian investors with several hundred workers. Single-handedly, it has been producing the biggest quantity of gold, and has become the largest declarant since its start of commercial operations in 2016. However, the company has been under scrutiny with questions over its adherence to its concession agreement and commitment to local content.

The company is now moving to underground mining, the first time for Guyana. According to Morganti &Co., on July 16, 2018, Guyana Goldfields Inc. released a statement “reducing its annual 2018 guidance numbers blaming the late arrival of haulage trucks. The price of shares dropped approximately 22% in value.”The law firm said that investors that have “realized or unrealized financial losses” as a result of acquiring Guyana Goldfield Inc.’s securities after February 20, 2018, are welcome to contact Morganti & Co. to further discuss their options”. The firm said that confidentiality of investors and whistleblowers will be respected.

(Kaieteurnews)