Commerce Group's News Updates8/28/2013 ICSID ad hoc Committee Issued an Order Discontinuing the Annulment Proceeding and its Decision on Costs
8/09/2013 Acting Secretary-General of ICSID Moved that the ad hoc Committee Discontinue the Annulment Proceeding due to Non-payment of the Second Advance Fee of $250,000
12/19/2012 ICSID Stayed the Annulment Proceeding
•Documents referenced in 8-K filed December 27, 2012
•ICSID's letter to the Company and El Salvador: 12/19/2012
•ICSID's letter to the Company and El Salvador: 12/21/2012
12/13/2012 ICSID Grants El Salvador's Request for an Extension to File its Rejoinder and Cancels the Hearing Scheduled for February 2013
•Documents referenced in 8-K filed December 13, 2012
•El Salvador's letter to ICSID: 12/04/2012
•Company's response to El Salvador's letter: 12/11/2012
•ICSID's letter to the Company and El Salvador: 12/13/2012
7/12/2011 Status of March 31, 2011 Form 10-K and
Company files Application for Annulment with ICSID
•Documents referenced in 8K, July 14, 2011
3/31/2011 Company suspends El Salvadoran operations
3/14/2011 ICSID Tribunal issues decision dismissing Company's claims based on the Government of El Salvador's Preliminary Objection
•Documents referenced in 8K, March 15, 2011
2/18/2011 The Company's securities are now being quoted on a more advanced platform with the OTC Markets (www.otcmarkets.com) under the trade symbol CGCO.QB. OTCQB represents companies that are reporting with the SEC.
11/15/2010 Transcript of Hearing on Preliminary Objection
11/15/2010 Public Hearing was transmitted live via Internet feed on Monday, November 15, 2010. The live streaming was made available pursuant to Article 10.21.2 of the Dominican Republic-Central
America-United States Free Trade Agreement (CAFTA). Click here for Public Hearing.
10/15/2010 Claimants' Rejoinder
9/30/2010 El Salvador's Reply
9/15/2010Company files its response to the Government of El Salvador's Preliminary Objection
•Documents referenced in 8K September 15th, 2010
8/16/2010 Government of El Salvador files Preliminary Objection to the Company's claims
•Documents referenced in 8K – August 16th, 2010
8/12/2010 Change in Registrant's Certifying Accountant
7/1/2010 Tribunal Constituted in CAFTA Proceedings
3/29/10 Disposition of Assets
7/2/09 Notice of Arbitration to commence international arbitration proceedings against Government of El Salvador under CAFTA-DR
A nineteen-month lease agreement was executed by and between the Company and Corporacion Salvadorena de Inversiones (“Corsain”), an El Salvadoran governmental agency, covering the real estate known as the San Cristobal Mill and Plant (SCMP) executed on March 25, 2008, retroactive to November 12, 2006.
Edward A. Machulak became President and Chief Executive Officer of Commerce Group Corp. Sidney Sodos became Vice President and Treasurer, and John H. Curry became Executive Vice President of the company.
Commerce’s long-time Chairman Edward L. Machulak passed away.
The Company’s El Salvadoran attorney filed a complaint against the Ministry of Environment with the Honorable Court of Administrative Litigation of the Supreme Court of Justice stating that the Ministry of Environment violated the right of a notice, hearing and due process, that there is a lack of legal foundation for the sanctions, use of excess authority, and contrary to the El Salvadoran law.
Without any prior notice, the El Salvador Minister of Environment’s office delivered to Commerce’s El Salvadoran legal counsel, its revocation of its San Sebastian Gold Mine exploitation environmental permit which was the only permit of its kind issued in the Republic of El Salvador. The Company’s El Salvadoran legal counsel after reviewing the two letters (one for the SSGM and the other for the SCMP) concluded that the revocation of these permits was arbitrary, illegal and unconstitutional and he so stated in his September 20, 2006 letter to the Minister of Environment’s office; a second letter was submitted by our legal counsel as the Minister of Environment’s office requested a response to the first letter. As of October 28, 2006, no responses were received. The Company has filed a lawsuit with the El Salvadoran Court of Administrative Litigation of the Supreme Court of Justice stating that the Ministry of Environment has not provided any prior notice, has not provided a right to a hearing and the right of due process, based its opinion on misguided assertions, and contrary to El Salvadoran law. In addition, the Company’s legal counsel stated that there is a lack of legal foundation for the sanctions and excess authority exercised by Ministry of Environment of Natural Resources (MARN).
The Office of the El Salvadoran Ministry of Environment and Natural Resources (MARN) issued an environmental permit (Resolution 3026-003-2006) relative to the Renewed SSGM Exploitation Concession and the San Cristobal Mill and Plant.
Exploration concession/license was issued by the Government of El Salvador to the Company for a period of four years with a four-year renewable extension under Resolution Number 271. This concession/license permits the Company to explore an area of 11,115 acres for precious metals and is identified as the Nueva Esparta Exploration Concession/License.
Exploitation concession/license was issued by the Government of El Salvador to Commerce Group for a period of 30 years. This concession/license permits the Company to develop, extract and sell precious metals from a 304-acre site and is identified as the Renewed San Sebastian Gold Mine.
A three-year lease, covering the real estate known as the San Cristobal Mill and Plant (SCMP) was executed by and between the Company and Corporation Salvadorena de Inversiones (“Corsain”), an El Salvadoran governmental agency, on April 26, 2004, retroactive to November 13, 2003. This lease includes an automatic additional three-year extension subject to Corsain's review.
The Office of the Ministry of Economy formally presented the Company with a twenty-year Renewed SSGM concession which was dated August 18, 2003.
The Company received an exploration license from the Government of El Salvador (GOES) dated February 24, 2003, for the exploration of minerals in an area encompassing the SSGM, consisting of 40.77 square kilometers (10,070 acres).
Exploration concession/license was issued by the Government of El Salvador to the Company for a period of four years with a four-year renewable extension under Resolution Number 27 received on March 3,2003. This concession/license permits the Company to explore an area of 10,070 acres for precious metals and is identified as the New San Sebastian Gold Mine Exploration Concession/License.
The Company renewed a thirty (30) year lease agreement by and between the Company and Mineral San Sebastian S.A. de C.V. (Misanse) covering the San Sebastian Gold Mine real estate.
On or about October 20, 2002, the Company filed an application with the Government of El Salvador through the Department of Hydrocarbons and Mines (DHM) for the Nueva Esparta, which consists of 45 square kilometers north and adjacent to the New San Sebastian Exploration License area. This rectangular area is in the Departments of La Union (east) and Morazan (west) and in the jurisdiction of the City of Santa Rosa de Lima, El Salvador, Central America.
At a meeting held with the El Salvadoran Minister of Economy and the DHM, it was agreed to submit an application for the Renewed SSGM for a 30-year term and to simultaneously cancel the concession obtained on July 23, 1987.
The Joint Venture had temporarily suspended the San Cristobal Mill and Plant (“SCMP”) operations (operations ceased on December 31, 1999) until such time as it has adequate funds to retrofit, rehabilitate, restore and expand these facilities and its environmental permit is reinstated.