I did some research
Apparently there are a lot of investors that got screwed in this company.
I'm putting together a list of everyone who wants to sue this company -- shareholders in particular. I think we can get a meeting with Milberg LLP and get them to take a class action case on contingency.
My wife's sister is a partner at Jones Day. We spoke about this case and, apparently, by lending money to the company as an individual, Mr. Carmichael pierced the corporate veil by comingling funds, which means the company debts can be made his own debts. Also, the limited liability benefit of the corporation is at risk.
This is the key -- they have tens of millions of dollars and are laughing all the way to the bank, but if enough of us talk to Milberg, there is significant precedent to break through their limited liability protection.
Also, here's a funny one she also mentioned -- their California Corporation Ubiquity Broadcasting, Inc. is suspended FTB due to nonpayment of taxes. If you serve the corporation with a complaint, it cannot even legally answer until it is revived, but it takes 6-8 weeks to revive, so you can actually get a default judgment entered in.
At this point, our money is most likely all gone, but we can prevent these people from ever running a business again. Mr. Carmichael and Mr. Garrison are on their way to a multi-year ban from the securities industry.
My good friend invested $650,000 in this company years ago and it is all gone.
AI
