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Defamation by investors on social media

Defamation by investors - defamation against a company

In a case that is believed to be the first of its kind in the UK concerning online defamation by investors against a company, online defamation and social media specialist solicitor firm Cohen Davis won damages for its PLC client, a gold mining company Red Rock Resources (RRR) after the company was defamed on social media by one of its small yet vocal investors.

The defamation by the investor against the company was so intense that some legitimate investors actually started to take the false allegations seriously and the matter began to attract a degree of undesirable social media attention on investors’ online forums.

Over a period of 3 weeks RRR and its lawyers tried to resolve the matter with the disgruntled investor amicably but after other investors started to complain about the potential fall in the value of their investment the company had no choice but to file a claim for libel in the High Court in London in order to protect the legistimate interests of its investors. The defaming shareholder, Gary Carp of London, admitted to have used Twitter, online investors’ forum Proactive Investors and email to spread defamation against the company. He agreed to avoid trial and pay the company undisclosed sum in damages, which the company donated to its charity.

 

To whom it might concern

“Since October last year I have sent a number of messages via email and on Twitter making a series ‎of allegations of wrongdoing, including criminal allegations, against Red Rock Resources PLC (RRR) ‎and Andrew Bell.‎ Based on assurances issued through their lawyers that Mr Bell, RRR and its Directors are innocent ‎of any wrong doing, which I accept, I wish to retract these statements.

I apologise unreservedly to ‎RRR, its directors (including Mr Bell), and its shareholders for any unwarranted damage I have ‎caused to RRR’s and Mr Bell’s reputation and for the upset and distress my allegations have ‎caused Mr Bell.

I have agreed to pay RRR and Mr Bell a significant sum in damages, which they have said they will ‎donate to the Build Africa charity working in Uganda and Kenya”‎

Mr Gary Carp

Published on behalf of Red Rock Resources PLC

defamation against a company

 

 

 

 

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