Formosa Liberty Corporation or “The Company” restructures exchange traded and other defaulted debt instruments. The Company currently has on assignment a portfolio of over 10,000 defaulted debt instruments of which approximately 5000 are NYSE Euronext traded bonds.
Lewes, DE -- (ReleaseWire) -- 09/09/2015 --Formosa Liberty has fine-tuned its debt collection strategy. While the previous management focused on collection efforts against quasi private entities, the new strategy will seek public confirmation by the government of the Republic of China (Taiwan) as guarantor of its defaulted debt under Article 63 of the Act Governing Relations Between Peoples Of The Taiwan Area And The Mainland Area which states that the pre 1949 sovereign debt of China shall be dealt with upon national unification.
The Company has instructed its legal team to immediately tender a demand on the Republic of China Control Yuan for an audit of the gold reserves and cash necessary to redeem the bonds once the prerequisites of Article 63 are met. The former Republic of China Justice Minister Chen Chung-Mo has confirmed by affidavit in a previous federal court case that the bond series held Formosa Liberty are covered under Article 63 and may be redeemed in accordance with law.
The Company has further requested legal counsel supply it with a collections plan for defaulted Russian debt instruments consistent with the current rulings in the French and ECHR Strasbourg Courts and to brief management on current developments in the Argentine sovereign debt restructuring cases. The Company also continues to reach out to potential financial backers in Singapore and Hong Kong in order to finance litigation and acquisitions and has undertaken a search for additions to its management team skilled in Asian finance.
Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words "will" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Corporation's current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. Various assumptions or factors are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking information. Those assumptions and factors are based on information currently available to the Corporation. The forward-looking information contained in this release is made as of the date hereof and the Corporation is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.
Typically the longer sovereign debt has been in default, the less likely a settlement. Some debt is so old that the bonds have more current value as a historical document than as a security. Sovereign bonds that no longer trade on an exchange and have no current ISIN number should not be referred to as a security per se and are listed on the Company books as having no value. There can be no assurance that the Company will be able to successfully redeem the bonds in its inventory. Formosa Liberty makes no representation that defaulted sovereign debt can be redeemed or restructured successfully as a successful settlement depends on many factors beyond the control of bondholders of the Company.