Victoria Gold settles class action lawsuit outside of court

An out-of-court settlement has been reached in a class action lawsuit brought against a Yukon mining company, Victoria Gold in May 2021.

The claim alleged shareholders were misled by representations in the company’s disclosure documents regarding mine operations, volume of production and costs of production at Victoria Gold’s Eagle mine near Mayo.

The settlement agreement details can be found on the website of KND Complex Litigation, a law company that advocates for integrity in capital markets in Canada. The settlement agreement restricts either party from commenting or issuing press releases on the matter, though information can be found on both Victoria Gold’s website and the law company’s site, Victoria Gold disclosed the lawsuit on its website when it was first filed.

The proposed settlement amount is $925,000, including lawyers’ fees and taxes.

The class action includes all people who purchased shares of Victoria Gold in specific share offerings in 2020, unless they specifically opt out.

Those people have three choices: they can do nothing and remain included in the settlement agreement; they can object to the terms in the settlement agreement by Nov. 3; or opt out of the settlement agreement by Nov. 8.

In the settlement agreement Victoria Gold does not admit any wrong doing, and the agreement clearly acknowledges that the case was concluded to avoid the time, risk and expense of continuing with the litigation.

Lawrie Crawford, Local Journalism Initiative Reporter, Yukon News