William:
I'd like to also chime in that these recent announcements of "hirings" of two people from the East Coast to this Salt Lake City company are more style than substance.
In addition, has anyone heard anything on the embarrassing litigation that has now been unsettled for more than one year?
<< On February 10, 1997, an action (the "Palomba Action") was filed in the Delaware Chancery Court for New Castle County by Richard J. Palomba, the owner of approximately 15,000 shares of the Company's common stock, against the Company, six of its directors, and SMD, L.L.C. ("SMD"), a Utah limited liability company indirectly owned and
controlled by Stephen M. Studdert, Roger D. Dudley and Thomas A. Murdock, each of whom is an executive officer and director of the Company and beneficially owns more than 10% of the Company's common stock. The complaint alleges that certain of the individual employee director defendants wrongfully caused the Company to engage in a series of loan transactions with K.L.S. Enviro Resources, Inc., a Nevada corporation ("KLSE"), and thereafter appropriated to themselves certain corporate opportunities resulting from such loan transactions. The Complaint further alleges that the non-employee director defendants wrongfully acquiesced in or ratified the conduct of the
employee-directors, and that all of the individual defendants breached their fiduciary duties to the Company. The Complaint seeks to compel an accounting for any alleged profits earned by the employee director defendants, equitable relief in the form of an order requiring certain of the employee director defendants to forfeit certain securities of KLSE they allegedly acquired in breach of their fiduciary duties to the Company, monetary damages in an unspecified amount, and costs and legal fees. >> |
