Alliance Select Foods International Inc. (ASFII) has emerged victorious in a court battle against its minority shareholders.
The Court of Appeals 13th Division issued a ruling on March 28, upholding the dismissal of a civil complaint filed by the minority shareholders in 2015, which sought to nullify a 2015 stock rights offer by the company.
The court found that the minority shareholders had engaged in forum shopping. ASFII believes that a case filed in 2020 with the Securities and Exchange Commission (SEC) by the minority shareholders is also an instance of forum shopping.
The SEC’s Market
Securities Regulation Department had earlier ruled in favor of ASFII on the case, citing forum shopping and prescription of action as grounds.
However, the SEC en banc reversed the decision last year.
ASFII has appealed the reversal via a petition for review with the Court of Appeals.
The company is hopeful that the court will rule in its favor and put an end to similar cases filed by the Hedy Group.