Legal Dispute

RNS Number : 5366G

Cenkos Securities PLC

29 June 2012

 



29 June 2012

Cenkos Securities plc ("Cenkos" or "the Company")

As disclosed in note 19 of our 2011 Annual Report, a cash-settled shadow equity scheme was set up in 2009 for the Cenkos team based in Edinburgh. The Company re-organised this office in 2010 resulting in the cessation of this arrangement and a number of staff leaving the Company. A provision for this re-organisation was established in 2010 to cover any resultant liabilities. The Company remains in dispute with a former member of staff on this issue.

We have this now been informed by our legal advisers that this former member of staff has issued a High Court writ against the Company, claiming £3.04m. The Board believes that the size of this potential claim is frivolous and that appropriate accruals have already been made for any potential liability due. The Company intends to defend any such claim vigorously.

Enquiries:

Jim Durkin                                                        020 7397 8900

Chief Executive Officer

Cenkos Securities plc

David Rydell/Duncan Mayall                    020 7861 3232

Pelham Bell Pottinger                                                     

Nick Donald                                                     020 7991 1504

HSBC (Nomad)                                                                 

 

END

 

 

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