|Barrick Chile Criminal Charges Filed and Accepted|
August 16th, 2012
Mountainstar Gold Inc. (the "Company"), wishes to advise our shareholders and the investing public of recent alarming events in Chile. Mr. Juan G. Torres, the Chilean lawyer acting for Mr. Jorge Lopehandia, our joint venture partner, informs "with regards to the criminal action for injuries (libel and perjury) against each and every one of the representatives of Compania Minera Barrick Chile Limitada and Compania Minera Nevada SpA."
"In the first instance the charges against the defendants is injuries. We are requesting the penalty of prison in minimum to medium terms. That means 3 effective jail years, plus all accessory charges and an exemplary payment of costs."
"The audience of September 05, 2012 will take place as follows: First of all every one of the named parties must appear. Without prejudice charged, they may be represented by their attorney. The Judge, in the first place, will call the parties to reach an agreement. If no agreement exists, parties proceed to file their evidence, proof, documents, witnesses, experts amongst others."
The reader should keep in mind that the Republic of Chile has a legal system based upon Napoleonic ("Civil") law. Napoleonic law effectively shifts the burden of proof to the party(s) charged and they must therefore, in effect, prove their innocence, or suffer the legal consequences, including jail time, exemplary payment of costs, or both.
On behalf of the Board of Directors,