Northern Rock Appeal Process Continues

LONDON - Although the appeal by SRM Global and other former shareholders in the Northern Rock case was today rejected by the Court of Appeal, the litigation continues and may ultimately go to Europe.

The shareholders were appealing against the Divisional Court’s decision to refuse a judicial review of the fairness of the Government’s scheme to compensate former shareholders. SRM will be seeking permission to appeal to the House of Lords. After such an appeal, or if permission is refused, appeal lies to the European Court of Human Rights in Strasbourg.

Jon Wood of SRM Global said: “We are encouraged that the Court of Appeal’s judgment acknowledges the real force of our arguments. We embarked upon this legal challenge in the full expectation that it would be a lengthy process. We are determined to see it through to its conclusion.”

Notes: - The Divisional Court hearing took place on 13-15 January 2009. The judgment was delivered on 13 February 2009. In giving permission to appeal to the Court of Appeal, the Divisional Court acknowledged that this case raises matters of public importance. - The appeal hearing took place on 10-12 June 2009. - These days, it is very rare for the Court of Appeal to give permission to appeal to the House of Lords. In almost every case, it is necessary to seek permission from the House of Lords itself. - From 1 October 2009, the UK’s final appellate court will be the Supreme Court, rather than the House of Lords. Appeals filed now with the House of Lords will, therefore, be heard by the Supreme Court. - A Supreme Court appeal could be heard in late spring/summer 2010. - An appeal to the European Court of Human Rights could take between 1 and 3 years. The court has a substantial body of pending cases.

For further information: Adrian Flook, M:Communications Tel: +44(0)20-7153-1588 / +44(0)7768-608396 / flook@mgroup.com

Source: Northern Rock

For further information: Adrian Flook, M:Communications, Tel: +44(0)20-7153-1588 / +44(0)7768-608396 / flook at mgroup.com