DMG accused of bribery, money laundering, fraud by employee

[syzhang28]

wow...

https://variety.com/2019/biz/asia/chris ... 203149629/" onclick="window.open(this.href);return false;

[syzhang28]

Chris Fenton Files $30 Million Suit Against DMG Entertainment

Fenton’s suit claims that the founders “have fled China and left DMG’s presence in China in shambles, with hundreds of employees losing their jobs.” Fenton accuses the founders – Dan Mintz, Wu Bing, and Peter Xiao – of reckless risk-taking, and of engaging in complex financial maneuvering to get money out of China.

The suit alleges that the founders borrowed hundreds of millions of dollars secured by DMG stock and used the funds to buy a $20 million mansion in Beverly Hills, multiple airplanes, including a $30 million Bombardier jet, and luxury vehicles, including Rolls-Royces, Bentleys and Ferraris. The suit says that the founders also took on millions in debt to pay for experimental regenerative medical treatments.

Some Chinese employees of the company were listed as guarantors of $220 million in loans, the suit alleges.

The suit also alleges that Mintz asked Fenton to propose an unusual deal to A-list actors, directors and producers. Under the terms, DMG would give the artist $45 million over three years. In exchange, the artist would give DMG $30 million over the same period. The cost to DMG would be hidden, while the money received would be booked as revenue. According to the suit, the goal of the arrangement was to take advantage of the company’s high stock multiple. Fenton’s suit says he actually tried to pitch the deal to one A-list actor and a producer, without success. An attorney for one of them told Fenton it did not “pass the smell test.”

[greg]

[sonicdan]

to pay for experimental regenerative medical treatments

DMG is Project Rising Spirt

[nycjadie]

Would love to talk to Dinesh about this. As his counsel

[wrunow]

Not surprised.

Dino buys company back for pennies on the dollar in a few years-my prediction.

[greg]

Dino buys company back for pennies on the dollar in a few years-my prediction.

That would be amazing.

[nycjadie]

Chris Fenton was described online as managing the acquisition of Valiant. If I were Dinesh, Cuneo, etc., I would be calling my lawyers.

[Chiclo]

to pay for experimental regenerative medical treatments

DMG is Project Rising Spirt

Wiener pills?

[AnarchoMambo]

Dino buys company back for pennies on the dollar in a few years-my prediction.

I completely agree. I also think that this will eventually actually happen.

[BugsySig]

Chris Fenton was described online as managing the acquisition of Valiant. If I were Dinesh, Cuneo, etc., I would be calling my lawyers.

Can you explain what legal grounds they would have here? Not sure how the suit and charges above relate to the aquisition of VEI.

[DirtbagSailor]

I was told that Dan bought a rather expensive house in the hills of southern California, with only three walls (as opposed to four like most I would assume).

The question was asked;

"aren't you concerned about insects?"

to which Dan reportedly stated words to the effect of;

"No, we are so high up that insects are not an issue because of the altitude."

However, it turned that his fact was somewhat "buggy" as the altitude required for Dan's statement to be true was significantly higher than what exists in the area his home was build.

Summary? Dan really just wanted a trendy/cool looking house, and didn't really think the whole thing through. Then when smart people asked smart questions, Dan concocted an easy to disprove story on the spot.

[nonplayer]

That kid from simpson who laughs at peoples mis fortune rings in my head.

[Shadowman99]

That kid from simpson who laughs at peoples mis fortune rings in my head.

Haw-haw!

[JCP]

Would love to talk to Dinesh about this. As his counsel

Looking for co-counsel?

[Blood of Heroes]

to pay for experimental regenerative medical treatments

DMG is Project Rising Spirt

Wiener pills?

Other people need strong dongs too.

[grendeljd]

Dino buys company back for pennies on the dollar in a few years-my prediction.

That would be amazing.

+1!!!

Would love to see it happen.

[depluto]

“Defeat snatched from the jaws of victory.” —Jim Shooter 1992

[syzhang28]

“Defeat snatched from the jaws of victory.” —Jim Shooter 1992

“Defeat snatched from the jaws of victory.” —Jim Shooter 1992, again in 2018 by Dinesh Shamdasani (subsequently deleted on Twitter)

[Chiclo]

“Defeat snatched from the jaws of victory.” —Jim Shooter 1992

“Defeat snatched from the jaws of victory.” —Jim Shooter 1992, again in 2018 by Dinesh Shamdasani (subsequently deleted on Twitter)

You got the joke.

[Shadowman99]

Dino buys company back for pennies on the dollar in a few years-my prediction.

That would be amazing.

+1!!!

Would love to see it happen.

Part of me really wonders whether Dinesh would want to become involved in Valiant again. By the time it ever (hypothetically) came up for sale his interests could have simply moved on.

[jmatt]

Part of me really wonders whether Dinesh would want to become involved in Valiant again. By the time it ever (hypothetically) came up for sale his interests could have simply moved on.

I don't wonder about that at all, Valiant was a lifelong dream he brought to fruition. He'd take it back in two seconds, imo. Now, that being said, it's still such a long shot as to be almost unthinkably impossible.

Even if DMG big wigs are found guilty (and we are years from seeing that happen, if so) the rest of the shareholders still own the property and would want back what they paid for it. And even then, there's no guarantee it'd be sold to Dino.

But never say never, I guess. In my mind, the only re-union I could foresee is Mintz out of the picture and DMG shareholders being smart enough to lure him back into the Valiant fold with a chunk of equity.

[ShadowTuga]

Dino buys company back for pennies on the dollar in a few years-my prediction.

That would be amazing.

+1!!!

Would love to see it happen.

Part of me really wonders whether Dinesh would want to become involved in Valiant again. By the time it ever (hypothetically) came up for sale his interests could have simply moved on.

I kinda am with SM99, I mean, wouldn't it be cool if Dinesh did the Valiant thing with another Dead Universe? Or you know, Brand New Superhero Universe? I know where I am, a valiant fans forum, and damn, I will probably get back in force to current comics again if it did happen... it's just... by the time Dinesh would get his hands back on Valiant characters, how many damage had been done the Valiantiverse, to the point where a reboot was just obvious and necessary given how some of the books might turn out?

Not to mention that his interests could have simply moved on as my felow poster said, opens the possibility that Nerd Boss doesn't want "to do comics" any more... that would be a real shame for all of us fans. His passion turned me into a Valiant curious and then I became a fan of the books brought by his approach to publishing superpowers books (of course Warren ois to be credited Big here).

Dudes, I can not help to say this- I lost all faith in the future of publishing with these people leading the company, now this criminal thing, I mean, what is there for us fans of that incredible, unique COMIC BOOK publisher that made 2012 such a special year for so many of us?

I am crossing fingers for Vin DIesel's Bloodshot to be 1000000000 better than what I already hope it will be. I hope that Valiant fans of today become hundreds of thousands - perhaps a couple of million - tomorrow, so there be dough for books.

I remember a 35 year old "kid" who in 2013 was thinking he would be buying issue 80 something of Manowar, Harbinger, A&A or Bloodshot in 2019, or whatever. Reading about criminal stuff involving people that work basically for the chinese government its amillion times more disheartening than a potato car.

[myron]

You can't even make this sh!t up...

[syzhang28]

Plot thickens. DMG responded:

"While DMG’s attorney tells me: ‘My client’s position is that Chris Fenton’s assertions in the complaint, published by Variety without proper fact checking, are factually wrong. Specifically, Chris Fenton had been a contracted employee by DMG Entertainment for four (4) years and not 17 years as he asserts. Chris Fenton’s contract was terminated due to his poor performance and asset mismanagement of investments which costs DMG millions of dollars. During his tenure Chris Fenton was not tasked to work for Yinji Entertainment & Media Company, a Chinese publicly traded company. During his tenure he was paid an annual salary of $200,000 plus $800,000 per year as part of the purchase of his talent company. His contract did not promise him any bonus or other compensation other than his $200,000 annual salary. Chris Fenton also misled the company in the purchase of his talent company which dramatically underperformed his stated revenue projections.’"