Official Committee of Equity Security Holders of Implant Sciences Corporation, IMX Acquisition Corp., and affiliates
Official Committee Statement
"Brown Rudnick LLP, counsel to the Official Committee of Equity Security Holders for the Implant Sciences Corporation (“IMX”) bankruptcy case, filed a motion Thursday afternoon, Dec. 22, in the U.S. Bankruptcy Court for the District of Delaware. The motion seeks to obtain standing to bring a lawsuit on behalf of the Committee against IMX's lenders, DMRJ Group, LLC and Montsant Partners, LLC, which are both affiliates of Platinum Partners Value Arbitrage Fund L.P.
"The Committee represents the interests of IMX shareholders, primarily non-institutional individuals who invested in the company's security technology. The motion seeks to show that as a result of the alleged misconduct by DMRJ and Montsant, and perhaps others, these investors suffered significant harm. The Committee is seeking damages exceeding $50 million on behalf of its shareholders to remedy the harm that was caused to IMX and its investors.
"The motion was filed as a result of the Committee's initial investigation into the conduct of DMRJ and Montsant. The Committee seeks to pursue claims for, among other things, insider trading, breaches of fiduciary duty, and charging usurious interest rates.
"The Committee also is continuing to investigate claims that may exist against Platinum Partners and its executives, including some of those who were indicted earlier this week in federal court in Brooklyn, NY in connection with other matters.
Sounds like a punitive case to me. Overall debt reduction seems separate. Interest has been stopped in October. Brown Rudnick has agreed to a contingency representation.
