Midway Creditors Reach Settlement With Mystery Owner

June 8, 2009 -

It appears as if Mark Thomas's brief and controversial reign as owner of Midway Games has come to an end

Bloomberg reports that Thomas reached a settlement with the bankrupt publisher's main creditors late last week. As GamePolitics reported last month, a committee of creditors alleged fraud and breach of fiduciary duty against Thomas, former owner Sumner Redstone, and several current and former Midway board members. The just-announced settlement, however, applies only to Thomas; litigation against the other defendants continues.

Thomas, an otherwise obscure investor, picked up Midway for a song last November, paying just $100,000 for the debt-ridden company. Under terms of the settlement he will walk away with up to $5 million and will be paid prior to other creditors whose claims aren't backed by collateral.

Attormey Linda Dakin-Grimm, who represents the creditors committee, told Bloomberg:

The committee is satisfied with the [Thomas] settlement. We believe the result is an important first step in the ongoing effort to recover damages.

Midway will hold an auction for its remaining assets on June 29th. Leading bidder Warner Bros. has already offered $33 million for Midway.


Comments

Re: Midway Creditors Reach Settlement With Mystery Owner

From my understanding, all he wanted was the bankrupcy writeoff. The $5 million in cash was nothing to what he gets to claim in losses for tax reasons. I wonder if he will still be able to make the writeoffs under the new agreement.

Re: Midway Creditors Reach Settlement With Mystery Owner

guess it's better than what he would have gotten (wasn't it like 30 million?)

 

I still find this complete BS and probably composed of many illegal or dirty tactics.

By the way...i have yet to even see what this man looks like? has a picture of him ever been released?

 
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ZippyDSMleehttp://www.afterdawn.com/news/article.cfm/2014/04/15/riaa_files_civil_suit_against_megaupload04/16/2014 - 8:48am
ZippyDSMleeEither way you get stagnation as people can not afford the prices they set.04/16/2014 - 8:47am
Neenekowell, specifically it helps people already living there and hurts people who want to live there instead. As for 'way more hurt', majorities generally need less legal protection. yes it hurt more people then it helped, it was written for a minority04/16/2014 - 8:30am
MaskedPixelantehttp://torrentfreak.com/square-enix-drm-boosts-profits-and-its-here-to-stay-140415/ Square proves how incredibly out of touch they are by saying that DRM is the way of the future, and is here to stay.04/16/2014 - 8:29am
james_fudgeUnwinnable Weekly Telethon playing Metal Gear http://www.twitch.tv/rainydayletsplay04/16/2014 - 8:06am
ConsterTo be fair, there's so little left of the middle class that those numbers are skewing.04/16/2014 - 7:42am
Matthew Wilsonyes it help a sub section of the poor, but hurt both the middle and upper class. in the end way more people were hurt than helped. also, it hurt most poor people as well.04/16/2014 - 12:13am
SeanBJust goes to show what I have said for years. Your ability to have sex does not qualify you for parenthood.04/15/2014 - 9:21pm
NeenekoSo "worked" vs "failed" really comes down to who you think is more important and deserving04/15/2014 - 7:04pm
NeenekoThough I am also not sure we can say NYC failed. Rent control helped the people it was intended for and is considered a failure by the people it was designed to protect them from.04/15/2014 - 7:04pm
NeenekoIf they change the rules, demand will plummet. Though yeah, rent control probably would not help much in the SF case. I doubt anything will.04/15/2014 - 1:35pm
TheSmokeyOnline gamer accused of murdering son to keep playing - http://cnews.canoe.ca/CNEWS/Crime/2014/04/15/21604921.html04/15/2014 - 11:50am
Matthew Wilsonyup, but curent city rules do not allow for that.04/15/2014 - 11:00am
ZippyDSMleeIf SF dose not start building upwards then they will price people out of the aera.04/15/2014 - 10:59am
Matthew Wilsonthe issue rent control has it reduces supply, and in SF case they already has a supply problem. rent control ofen puts rent below cost, or below profit of selling it. rent control would not fix this issue.04/15/2014 - 10:56am
NeenekoRent control is useful in moderation, NYC took it way to far and tends to be held up as an example of them not working, but in most cases they are more subtle and positive.04/15/2014 - 10:24am
PHX CorpBeating Cancer with Video Games http://mashable.com/2014/04/14/steven-gonzalez-survivor-games/04/15/2014 - 9:21am
Matthew Wilsonwhat are you saying SF should do rent control, that has never worked every time it has been tried. the issue here is a self inflicted supply problem imposed by stupid laws.04/15/2014 - 8:52am
E. Zachary KnightNeeneko, Government created price controls don't work though. They may keep prices down for the current inhabitants, but they are the primary cause of recently vacated residences having astronomical costs. Look at New York City as a prime example.04/15/2014 - 8:50am
NeenekoI think free markets are important, but believe in balance. Too much of any force and things get unstable.04/15/2014 - 7:25am
 

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