Correspondence from one Zenith debenture holder:
"Let's make the Indenture Trustee do its job. I obtained a copy of the Indenture and had my attorney call State Street Trust. They are supposed to be the protector of the rights of the debenture holders. But they said that they were not taking a position on the prepackaged Chapter XI and that they were following the instructions of the holders of 50%+ of the debentures (the committee).
I wrote them today and inquired as to what investigation they had made into the bona fides of the committee. I directed them to your web site and told them that in view of what was there it seems that the committee may well be a conspirator with LG to take advantage of the other holders and have them accept less than true value. You and other debenture holders ought to contact them. They have a duty to act as a "prudent man" to protect the rights of the holders of debentures."
Follow-up letter:
"The Indenture Trustee does have fiduciary responsibilities to protect the interests of the holders of Debentures
The current Trustee is State Street Bank and Trust Company. The person in charge of the Zenith debentures at State Street is Laura Morse (617-662-1753). After calling her several times and not getting a call back, my attorney called and he got a call back from her assistant, Ms. Jean Duray. She stated that State Street did not plan to take an independent position on the proposal because they were following the wishes of the holders of 50%+ of the debentures.
I had my attorney send them a letter, enclosing some of your materials, and suggesting that in view of the possible conspiracy between the Loomis Sayles committee, LG and Zenith, they had better do their job and investigate the bona fides of the committee. If they don't they could be liable to the minority holders of debentures for failing to do their duty.
The address to which the letter was sent: Laura Morse, State Street Bank and Trust, Corporate Trust Department, 2 Avenue DeLayfayette, 5th Floor, Corporate Trust Window, Boston, MA 02111."
All Zenith convertible debenture owners who question the possibility of a conspiracy between LG (and alleged agent, Bob Dangremond) and the self-appointed bondholder's committee, in addition to contacting State Street Bank, may also wish to contact:
Frederic J. Baker, Esquire
Senior Assistant U. S. Trustee
Office of the United States Trustee
Curtis Center, Suite 950 West
601 Walnut Street
Philadelphia, Pa. 19106 Fax (215) 597-5795
and:
SEC Division of Enforcement
Enforcement Complaint Center
Mail Stop 2-2
450 Fifth Street, N.W.
Washington, D.C. 20549-0202 Fax (202) 942-9570
We need everyone's help. Thanks. |
