American Idol creator and So You Think You Can Dance executive producer, Simon Fuller, continues his bid to wrest control of the properties from Core Media. The company filed Chapter 11 bankruptcy shortly after the American Idol series finale in April. It turned out Fuller had taken steps that could have lead to an involuntary winding-up proceeding in the U.K.. The move sent Core execs scurrying to reorganize their debts.
Now, Fuller is bringing an ex parte motion for an order authorizing examination of AOG Entertainment and its Core affiliates. From The Hollywood Reporter:
Fuller now asserts a claim worth more than $10 million thanks to his long-term creative services agreement that provides him profit shares of Idol and So You Think You Can Dance. He cites “intimate knowledge” of the debtors operations and alleges that 19 Entertainment has “received little, if any, benefit from the incurrence of such debt.”
He raises the prospect of bringing claims for actual and constructive fraudulent transfers, equitable subordination and disallowance, unjust enrichment, breach of fiduciary duty and aiding and abetting breach of fiduciary duty.
“Upon information and belief, the Debtors made certain material misstatements in connection with the UK Audit regarding the Debtors’ solvency, which may impact fraudulent conveyance and other claims,” adds his motion pushing for authorization to look further into the debtor’s assets and transactions.
Also:
Fuller, who says he was left off the Unofficial Committee of Unsecured Creditors despite indicating interest in serving as a member, could be priming a challenge to confirmation of the reorganization plan. In court papers, he adds, “If the Debtors want to expedite their exit from these chapter 11 cases, then there must be a concomitant obligation of the Debtors to provide complete and expeditious access to documents and information necessary to evaluate claims and causes of action that may significantly impede the Debtors’ ability to confirm a plan.”
