April 12, 2012
On March 30, 2012 Sino Forest Corporation obtained creditor protection under the CCAA. The initial order provided for an interim stay of proceedings against Sino Forest. The plaintiffs in this class action have two motions pending before the court that they intend to have heard despite the stay of proceedings. On April 20, 2012, class counsel will appear in the insolvency court to ask the court to lift the stay and permit the plaintiffs’ motions.
The first motion, mentioned in our latest update of March 6, 2012, is for approval of the CFI litigation funding agreement. The second motion is for certification for settlement purposes against only Pöyry (Beijing) Consulting Company Limited. This proposed certification arises from a tentative settlement with Poyry. The tentative settlement is limited to Poyry and does not affect the class action against the other defendants, which will continue.