Sanum Investment Ltd. and Lao Holdings, N.V. file Opposition to Motion to Dismiss by San Marco Capital Partners, LLC and Kelly Gass, July 17, 2016
DELAWARE, UNITED STATES, July 17, 2016— Sanum Investment Ltd. and Lao Holdings, N.V. filed an opposition to
the motion to dismiss by San Marco Capital Partners, LLC and Kelly Gass on Friday.
This is the latest development regarding the case in which the defendants failed to uphold
their fiduciary obligations under contract.
In contravention of the terms of the investment treaty arbitration, the Laos Government
unilaterally hired San Marco Capital Partners and Kelly Gass to operate, manage, market
and sell Sanum’s valuable Lao gaming assets, which include the Savan Vegas Hotel &
Casino and two Slot Clubs. The defendants, who had no gaming management experience,
failed to communicate with the plaintiffs and conduct an open bid process, which would
have maximized the sale price of these valuable assets. Instead, the assets were sold to
Macau Legend for a fraction of the estimated value.
“The unethical and illegal way that San Marco Capital Partners and Kelly Gass have
handled the potential sale of our assets is insulting to any person or company trying to do
business in Laos. We hope that the court recognizes this and denies this motion to
dismiss,” said Jody Jordahl, President of Sanum Investment.
Gass wants to compel arbitration in Laos, which is one of the most corrupt nations in the
world. Plaintiffs’ witnesses are subject to death threats and threats of baseless arrest in
the country. Additionally, plaintiffs do not expect the party-controlled judiciary to
provide an unbiased enforcement of any award in our favor because the Government of
Laos is contractually required to indemnify Defendants for any judgment obtained by
Plaintiffs.
In this opposition, Sanum Investment Ltd. and Lao Holdings, N.V. ask that the court
deny the defendant’s motion to dismiss in its entirety.