Reconnaissance Energy Africa (TSXV: RECO), whom is more commonly referred to as ReconAfrica, this morning put a strong end to recent rumours circulating social media. The firm put out a firm note indicating that it is not under investigation by the British Columbia Securities Commission.
After certain social media reports began circulating on the matter, the company reportedly reached out to the BCSC to confirm that no investigations are underway on the company.
The news follows a story published by the Globe and Mail in late July alleging that an investigation into the company is currently underway. The investigation is said to have begun after complaints from environmentalists began to flow to the RCMP, related to the firms exploratory drill program in Namibia.
The Globe reported that the investigation was related to alleged offences under Canadian law prohibiting corruption of foreign officials and securities fraud. The former is related to the firms connections with politically connected figures in Namibia, while the latter was supposedly related to stock promotion.
When the Globe asked the RCMP about the investigation, they were told that “The RCMP does not confirm or deny the existence of a criminal investigation unless charges would be laid. No further comment will be made at this time.”
ReconAfrica last traded at $4.18 on the TSX Venture.
Information for this briefing was found via Sedar and Reconnaissance Energy Africa Ltd. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
