Former Morgan Creek distributor files for bankruptcy
The company that owns the rights to "The Last of the Mohicans," "Young Guns" and "Robin Hood: Prince of Thieves" has filed bankruptcy, citing a sharp decline in movie royalties.
Inverness Distribution Ltd, a Bermuda-based film company that was previously known as Morgan Creek International Inc., filed a petition in U.S. Bankruptcy Court in Manhattan, listing as much as $100 million in debt. Creditors include French bank Société Générale, ING Bank NV, and Bank of Ireland.
The Chapter 15 filing is intended to shield Inverness from creditor lawsuits in the U.S. as it seeks to reorganize in Bermuda, where courts have appointed liquidators to take over the company. According to court filings, Inverness is "deeply insolvent, has breached its contractual obligations [and] was managed by individuals whose interests conflict with those of Inverness.''
James Robinson, the company's former president and sole shareholder, could not be reached for comment on the filing, which was first reported by Bloomberg.
-- Richard Verrier