BlueRock Diamonds PLC (LON:BRD) has disclosed a further claim against the company by its former chief executive Riaan Visser, which the firm said legal advice says has “no merit” and it intends to defend “vigorously”.
The AIM-listed diamond mining company, which owns and operates the Kareevlei Diamond Mine in the Kimberley region of South Africa, said Visser has submitted a claim for 975,000 rand (approximately £55,000) in relation to the use of a generator in 2016.
READ: BlueRock Diamonds gets liquidation threat against subsidiary lifted
The firm said this amount had originally been included in Visser’s original claim announced on 23 February 2017 but subsequently removed by him.
Back then Visser, and certain companies controlled by him, had launched a claim to place the company's operating subsidiary, Kareevlei Mining (Pty) Ltd in provisional liquidation.
In August this year, Bluerock saw the prospect of a winding-up of its main subsidiary lifted after reaching an agreement with Visser. which saw a sum of £230,000 put into escrow as a full provision for the claim.
BlueRock had repeated its belief the action is without merit but said the decision to make the provision was to remove the uncertainty of a court case.
The liquidation hearing was then cancelled, but Visser could institute proceedings to claim the escrow money.
Adam Waugh, Bluerock’s chief executive, said at the time: "If Mr Visser decides to pursue his claim further it will be dealt with in the course of a normal recovery process and we remain confident, based on legal advice, that his case is without merit."
The chief executive and BlueRock’s chairman Paul Beck have loaned the diamond miner £231,400 to cover the escrow amount.