Digital Domain Media Group Inc. (fka DDMGQ)

[jaxstraw]

The three big issues are:

1)Whether the Make Whole Penalty is enforceable

2)Whether Senior Lenders actually intended their investment to be equity in nature and not debt.

3)Whether they shorted based on inside info.

Forget #1 and #3.....even with a reduction of the Make Whole penalty there is not enough to put shareholders in the money.

And as far as 'shorting' the stock, even if true, it does not monetarily change the outcome of the BK case.

PBC is also going to have to show far more evidence than they have presented in their motions about this 'shorting' issue to have the Judge even allow it to be discussed in his court.

They are not allowed to 'fish' with claims backed no evidence to get it entered in court. They must show some sort of tangible proof with direct connections to Senior Lenders. And they have not done so. They just make the claim it happened.

That's not enough in a courtroom.

The penalty for that would be civil in nature and has no ties to how the NewCo is developed through distribution and the BK courts even if it somehow does get in.

#2 is the only scenario interesting enough to watch as it unfolds.