this is it in a nutshell: fresnillo was caught in a lie. rather than comply with the osc directive, fresnillo walked away. you know you've really have done something outrageous when even the osc can't look the other way.

So what motivated Fresnillo to announce today that after almost seven months, it is throwing in the towel? On Thursday, June 18, 2009, the OSC issued an order that compels Fresnillo to provide to MAG extensive discovery of documents and e-mail records that are germane to Fresnillo's repeated assertions that the critical documents described above do not exist. MAG has stated repeatedly that it believes those assertions are wholly inaccurate and that, in fact, Fresnillo is in possession or control of numerous documents that demonstrate the very substantial economic benefits to both MAG and Fresnillo of incorporating the Juanicipio property into the Fresnillo II regional development plan. Rather than cooperate with the discovery order issued by the OSC, Fresnillo chose to walk away from its announced offer.