Midland Inc. Announces Clarifications
PR Newswire - July 09, 1998 16:12
DENVER, July 9 /PRNewswire/ -- Midland Inc. (OTC Bulletin Board: MIDL), today announces that, as of the close of business June 28, 1998, it had created a Liquidating Trust for the purpose of collecting all assets of the corporation which existed on that date. This includes all legal claims which the corporation had against Mr. Daniel W. Fisher, former CEO and Chairperson of the Board of the corporation. The beneficiaries of the Trust are all shareholders (Preferred and Common) of record as of the close of the business day July 14, 1998.
The assets collected will be reduced to cash. After satisfying the administrative expenses of the trust, including legal fees and costs, and debts of the corporation as of June 28th, will be distributed to the shareholders as of the record date.
The Liquidating Trust has initiated suit against Mr. Daniel W. Fisher, former CEO and Chairperson of the Board of the corporation and his affiliates. The suit alleges securities fraud and attendant claims against Mr. Dan Fisher and his affiliates in obtaining the purchase by the corporation of Mr. Fisher's Arcon Energy on January 22, 1998, furthermore, alleges fraud, theft, misappropriation, concealment, and claims against Mr. Fisher and his affiliates for their taking approximately $600,000.00 in cash resulting from the private sale of restricted securities of the corporation, and alleges fraud, and misappropriation regarding Mr. Fisher's unauthorized issuance of non-restricted Series A Preferred Stock (MIDLP) and Warrants (MIDLW) to himself and affiliates.
The Liquidating Trust is registered with the District Court for the City and County of Denver, State of Colorado.
The previously declared and announced three for two (3:2) forward Series "A" Preferred Stock (MIDLP) split is now in effect. NASD has set July 7, 1998 as the effective ex-date for those shareholders of record as of the business close May 29, 1998. It will not be necessary for shareholders to mail in old certificates in exchange for new certificates. The dividend of the Liquidating Trust shall be distributed on a post split basis to the Preferred "A" shareholders.
SOURCE Midland Inc.
/CONTACT: Gary Swancey, Investor Relations of Midland Inc., 770-389-5645/ |
