Judge Rejects Able's Request For A Stay Of Execution Of SIRIT's Judgment Without The Posting Of Bond And Additional Security.

Business Editors

TORONTO--(BUSINESS WIRE)--June 21, 2000

At a hearing conducted in Miami, Florida on June 19, 2000, the Honorable Alan S. Gold rejected the request of Able Telecom Holding Corp. ("Able") that, in light of its allegedly precarious financial condition, it be granted a stay of execution of the $31.2 Million (U.S.) Judgment entered against it by the Court on May 16, 2000, without the posting of a supersedeas bond and other additional security. By Order entered on June 20, 2000, Judge Gold granted Able a stay until June 27, 2000 to post a $4.8 Million (U.S) supersedeas bond -- the minimum amount that even Able agrees it must pay SIRIT-- which serves as a guarantee to SIRIT. The Court also ruled that "[i]n addition to the bond, defendant Able shall be required to satisfy reporting requirements to the court and to [SIRIT] in order to provide additional security against possible fraudulent transfers." Thus, the Court required Able to provide the Court and SIRIT notice when it transfers $250,000 (U.S.) or more to any division or subsidiary of Able or to any third party. Further, the Court "reserve[d] the right to increase the bonding requirement if it should become apparent that [Able] is engaging in a pattern to divest itself of assets." The Court also emphasized: "If at any time, [Able] should fail to meet the reporting requirements, should fail to post a bond, or should fail to meet any increases in bonding requirements ordered by the court, the court shall immediately lift the stay and [SIRIT] may begin execution on the judgment."

As further protection of SIRIT's rights, the Court also directed that SIRIT would be allowed to record (but not execute on) its Judgment in any jurisdiction, thus creating a secured interest in Able's assets, and that SIRIT shall have the right to observe in person all Able board meetings.

At both the hearing conducted on June 19, 2000, and in its Order of June 20, 2000, the Court took pain to emphasize that "[t]he parties should not construe the decision today on the amount of the bond as a decision on the merits of the pending post-trial motions for additur, remittitur and judgment as a matter of law." Indeed, the Court emphasized that if it sustains SIRIT's judgment it will order a corresponding increase in Able's bonding requirement.

In order to make a determination on the pending motions, the Court directed each of the parties to file proposed findings of fact and conclusions of law on July 10, 2000, but indicated that he is not likely to render a final decision until mid-August. SIRIT remains confident that the Judgment it obtained on May 16, 2000, is fully supportable under the law and will be sustained by the Court.

SIRIT focuses its business on wireless, e-commerce payment solutions and identification systems in the transportation industry using radio frequency technology. SIRIT designs, develops and manufactures a range of radio frequency identification products marketed as the IDentity Series including IDentity HandsFree, IDentity Flex, and IDentity Title 21. SIRIT is the largest supplier of Title 21 compliant products to the United States market.

SIRIT has 34,082,843 million common shares outstanding on a fully diluted basis.

For more information contact: Michael Briand, President and CEO, SIRIT Corp., Markham, Ontario at [phone], FAX [phone] or e-mail "[e-mail]"

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