Veris Gold Files For Bankruptcy Protection

Veris Gold Corp., which owns Jerritt Canyon, filed for bankruptcy protection Monday in the U.S. and Canada after the Deutsche Bank AG, London Branch claimed the company was in default, the Elko Daily Free Press reported. These filings also follow Veris Gold laying off nearly 60 people at the Jerritt Canyon complex last week. Veris Gold said the Supreme Court of British Columbia issued an order Monday granting “the company’s application for creditor protection under the Companies’ Creditors Arrangement Act.” Veris Gold has its headquarters in Vancouver. The order also extends protection to Veris’ subsidiaries Queenstake Resources Ltd., Ketza River Holdings Ltd., and Veris Gold USA, Inc. The company also received a temporary restraining order from the U.S. Bankruptcy Court following a hearing Monday in Reno. The temporary restraining order is in effect pending a full hearing of an application for recognition of the CCAA proceedings pursuant to Chapter 15 of the U.S. Bankruptcy Code, Veris Gold stated. As a result, United States creditors are restrained from taking action against the company and the other CCAA Petitioners, including Veris Gold USA, Inc. Read more.