CardioVascular BioTherapeutics (fka CVBT)

[walhall]

New significant lawsuit against Cardiovascular Biotherapeutics (CVBT)

Doing some research online, I found a brand new lawsuit against Cardiovascular Biotherapeutics (CVBT) that was apparently filed on June 27, 2019 in Nevada District Court. I got my hands on the complaint. The rest of this posting is taken directly from the complaint. You can find the online court link to this case at the end of this posting.

The plaintiffs are a group of former employees and creditors of CVBT who are suing to be paid a collective total sum of “at least” $1,857,055. I put the words “at least” in quotes because that is how the amounts are referred to in the complaint. The complaint indicates this group of plaintiffs along with others filed the involuntary bankruptcy action against CVBT in 2018.

According to the complaint, just before this lawsuit was filed, the plaintiffs withdrew their appeal in the bankruptcy case, and this lawsuit is in effect the continuation of that collection effort. According to the complaint, in the earlier bankruptcy case, “it was determined by the bankruptcy court that bona fide disputes existed between CVBT and the Plaintiffs.” The complaint further states that the plaintiffs voluntarily withdrew their appeal because “the ultimate resolution of disputes would be more efficiently obtained through this action.” Contrary to what has been anonymously indicated on this CVBT message board, this collection effort is very much moving forward. And there are some surprises within.

The plaintiffs claim they are owed the sums represented because they continued to work for and provide services to CVBT during the period following the 2008 economic crash when CVBT was unable to raise money. The did so based on CVBT’s promise to compensate them whenever CVBT had sufficient monies in the future. Based on that Deferral Agreement (as it’s called), the plaintiffs continued to work until the Wallen takeover resulted in their termination. The plaintiffs indicate they learned in the involuntary bankruptcy proceeding that CVBT’s current management intended to breach the Deferral Agreement and not pay them. And during the period of the involuntary bankruptcy, the plaintiffs learned (by discovery?) that CVBT had funds in its bank accounts that would be sufficient to satisfy most of the amounts owed to the plaintiffs. Yet as required under the Deferral Agreement, CVBT never informed the plaintiffs that it had monies to pay them off as the agreement required, and subsequently CVBT renounced these obligations even though the Deferral Agreement can not be waived or modified by any party.

Also, the complaint has a major piece of information I was not aware of: "During the pendency of the bankruptcy, it was determined by the bankruptcy court that CVBT was not paying its debts as they become due.” This is a finding by the BANKRUPTCY COURT, which flies in the face of the many anonymous postings here falsely stating otherwise. It’s my opinion that this indicates CVBT continues to be in dire financial condition. That should be no big surprise to anyone, but now at least that’s a FACT that has been determined by the bankruptcy court.

There’s much more to discuss, but I need to go now. So in summary, this is yet another lawsuit that CVBT has to contend with, which is in addition to the pending fraud trial of CVBT’s CEO, Calvin Wallen III, who is accused by the U.S. government Bankruptcy Trustee for Tauren Exploration (the company he was running prior to CVBT) of allegedly stealing $14 million from Tauren and allegedly falsifying documents and submitting them to the bankruptcy court to cover his tracks:

Tauren Exploration, Inc. Liquidating Trust vs. Calvin Wallen III:
https://www.pacermonitor.com/public/case/24021776/Tauren_Exploration,_Inc_Liquidating_Trust_v_Wallen,_III

Tauren Exploration, Inc. Liquidating Trust vs. Pandale Holdings, Inc. et. al:
https://www.pacermonitor.com/public/case/24021775/Tauren_Exploration,_Inc_Liquidating_Trust_v_Pandale_Holdings,_Inc_et_al

Tauren Exploration, Inc. Liquidating Trust v. Fossil Operating, Inc. et al:
https://www.pacermonitor.com/public/case/24021777/Tauren_Exploration,_Inc_Liquidating_Trust_v_Fossil_Operating_Inc_et_al


And here is the case link for this new lawsuit against CVBT:
https://www.pacermonitor.com/public/case/28827576/Luell_et_al_v_CardioVascular_BioTherapeutics,_Inc


Stay tuned…