MEDINAH MINERALS Question & Answers
November 17, 2011
Question & Answer postings are compiled from time to time, as an information source as to company actions and/or activities. Q&A posts will continue in the post-Joint Venture Agreement phase concerning Company activities, to provide ongoing information for the benefit of Medinah Minerals shareholders.
Q: What happened with the Bogdan Borkowski matter? Is this situation impacting Medinah's share price?
A: Management of Medinah Minerals (Chile) S.A. and Medinah Minerals, Inc. (USA) are now legally able to inform Medinah’s shareholders of a serious situation that has been ongoing for the last few years. Historically, Señor Quijano utilized his personal ownership of Medinah shares as collateral to further his goal of securing interest in his various mining claims and farming operations in Chile. Señor Quijano placed his shares into an Escrow account with a Brokerage Firm with a written admonition that the shares were not to be sold unless he failed to pay the collateralized debt to Bogdan Borkowski. Señor Quijano ultimately paid the debt on time and in its entirety and attempted to resecure his pledged Medinah shares from the Escrow account. To his shock, the shares had been illegally sold by Bogdan Borkowski through the concerted efforts of Mr. Borkowski and the unscrupulous activities of the Chilean Broker. Señor Juan José Quijano-Fernández then brought charges of grand theft and felony fraud against one Bogdan Borkowski (Chilean citizen) that involved multimillions of shares of Medinah Minerals, Inc. (USA) stock. Mr. Borkowski was later charged criminally by Chilean authorities with grand theft and felonious fraud involving the illegal and non-authorized sale of Señor Quijano’s Medinah securities. The Chilean Supreme Court is now completing its judgement and order of restitution to be made to the benefit of complainant, Juan José Quijano Fernández. It has not yet been determined which form this will take; either a court-ordered buyback of Medinah shares or cash equivalent of loss as determined by the Court. Señor Quijano has requested a return of the Medinah shares. In this regard, Chilean authorities and the Supreme Court have uncovered several bank accounts belonging to Bogdan Borkowski. They have identified and frozen these accounts in the U.S.A., Cayman Islands and Chile. Funds from these accounts are more than sufficient to cover the repurchase of stolen Medinah shares, and/or a reimbursement valuation equivalent.
Subsequent to the initiation of legal proceedings filed against Bogdan Borkowski, Señor Quijano suffered several break-ins at his home. Chilean authorities investigated these crimes of Burglary, and several armed individuals were arrested. Statements were solicited from cooperating suspects. On August 19, 2011, a notarized declaration was made to the Chilean authorities by one of the cooperating suspects caught and detained in the third Burglary break-in. This declaration states that this individual was hired by Bogdan Borkowski to kill Sr. Quijano at his home during a Burglary and Armed Assault. Fortunately Señor Quijano was not at home at the time of the Burglary. Had he been home, the suspect indicated that he would have taken Señor Quijano's life.
Chilean authorities are also investigating the possible involvement of several US citizens in this criminal grand theft and felony fraud. Further, authorities are looking into all possibilities of complicity by person(s) unknown in the “murder for hire” attempt on the life of Señor Quijano. Phone records and correspondence taken as evidence and belonging to Bogdan Borkowski are being investigated by Chilean authorities. The Company has not been at liberty to make these full disclosures due to the ongoing criminal investigation issues. Now that the Chilean Supreme Court criminal rulings have exhausted the appeals process, relative to only Bogdan Borkowski, the Company will now meet all obligations to inform its shareholder base of developments.
Of note, Señor Quijano has hired personal protection, has increased his home security with special infrared cameras, and is under the watch of the Chilean Police Forces.
Criminal and Civil investigations are ongoing and Management will update the Medinah shareholders with any new information from those investigations.
In the meantime, it is important to once again advise and stress that any information that is “NOT CONTAINED” on the official Medinah Company website is not to be trusted. Certain individuals with unknown agendas present false representations, confusing inaccuracies, and contrived falsehoods that should not to be relied upon.
This notice is considered to be material to the Medinah Company and its shareholders.
Q: What is the status of the old Russell Godwin, et al lawsuit against Medinah and the counter claims filed in response?
A: Medinah Minerals, Inc. (USA) has now instructed its Attorneys to proceed forthwith with Examination of Discovery of all parties involved to further Medinah's filed counterclaims against all parties. Medinah maintains that the original lawsuit filed by Godwin et al, was frivolous and without merit. Supreme Court case #S081066 includes Benjamin Ainsworth, Hela Hansen, Russell Godwin and the Estate of Gordon House (named third parties are Russell Godwin and RGM Communications Inc. as plaintiffs). Subsequent to the examinations of discovery, immediate application will be made to the British Columbia Supreme Court for trial dates.
Note: Refer to Website postings under Legal Developments dated June 4, 2008 and July 3, 2008.
Juan José Quijano Fernández
President/CEO
Act in Spite of Fear and Uncertainty
Ex B.....
