Latest news with #BillSarris
Mint
6 days ago
- Business
- Mint
Fintech Shareholders Want Delaware, Not Texas for Bankruptcy
(Bloomberg) -- Shareholders of collapsed fintech startup Linqto Inc. asked a federal judge in Texas to send the company's bankruptcy case to Delaware, contending there they will be better protected from the whims of new managers. Investment firm Sapien Group said in a court filing Wednesday that shareholders want to challenge actions taken by Linqto's board after a new chief executive was hired to replace founder Bill Sarris. The filing alleges that Linqto's new management team under CEO Dan Siciliano created a corporate shell named Linqto Texas that was used to justify filing for bankruptcy there instead of Delaware, where the parent in incorporated. Delaware's reputation as the default location for companies to house their corporate paperwork has been under attack in recent months by a small number of tech heavyweights, who claim the state's business courts are biased against founders like Elon Musk. Texas lawmakers have taken advantage of the controversy by trying to persuade companies to reincorporate in their state. Texas Sweetens Pitch to CEOs, Boards With New State Protections Linqto shareholders should be allowed to fight current management in Delaware's federal bankruptcy court because the 'current board has taken actions in blatant derogation of the rights' shareholders have under Delaware law, Sapien said in its filing. 'The filing of the cases before this court in this district appears to be the quintessential example of improper forum shopping,' Sapien said in the filing. In an emailed statement, Linqto defended the Texas filing, arguing the court there has the experience necessary to handle the case. 'The decision to file for Chapter 11 restructuring in the Southern District of Texas was made with a single priority focus: to provide our customers with the best chance of maximizing the value of their claims,' the company said. Companies can file for bankruptcy in any US federal court so long as there is some kind of economic connection to the jurisdiction. Critics say the rule lets managers shop for friendly judges, since the link can be as simple as having one unit in a big corporate family set up a bank account in the state. Houston-based federal judge Alfredo R. Perez would need to approve Sapien's motion for a move to happen. Delaware's business courts routinely handle shareholder lawsuits aimed at company managers like Musk. He lost a case over his record-setting pay package last year and decided to reincorporate Tesla Inc. and Space Exploration Technologies Corp. in Texas. Linqto's new managers claim that former executives mismanaged the firm's business for years by misleading customers into believing they owned shares in 111 privately-held companies worth more than $500 million. The firm told its 13,600 customers that they could buy stakes in private companies before the firms went public, something that's typically available only to big institutions, Linqto bankruptcy attorney Samuel A. Schwartz told a judge in Texas overseeing the insolvency case last week. That turned out to be wrong, Schwartz said, with a Linqto affiliate the actual owner. The company's customers are unsecured creditors, he said. After Siciliano took over early this year, he began an internal investigation that eventually forced out many original executives, according to court records. Shareholders are concerned about the allegations against former managers as well as alleged violations of shareholder rights by new managers, Sapien said in the filing. The company has not held an annual meeting of shareholders as required under Delaware law, according to the filing. A new board of directors also wrongly changed the company's bylaws and prepared for the bankruptcy filing 'in a stealthy and secretive manner,' Sapien said. Private Market Startup Collapses Amid SEC Probe: The Brink The US Securities and Exchange Commission is investigating Linqto and whether former managers failed to verify if some of its customers were accredited investors with sufficient financial backing to invest through the company, according to court documents. Linqto's advisers plan to use the bankruptcy process to raise money to repay customers and other creditors, Schwartz said. He added the company will try to negotiate a bankruptcy payout plan with regulators before presenting a detailed proposal to creditors for a vote. The case is Linqto Texas, LLC, 25-90186, US Bankruptcy Court, Southern District of Texas, Houston. (Updates with comment from company in the seventh graph.) More stories like this are available on
Bloomberg
6 days ago
- Business
- Bloomberg
Shareholders of Failed Fintech Want Bankruptcy Moved to Delaware
Shareholders of collapsed fintech startup Linqto Inc. asked a federal judge in Texas to send the company's bankruptcy case to Delaware, contending there they will be better protected from the whims of new managers. Investment firm Sapien Group said in a court filing Wednesday that shareholders want to challenge actions taken by Linqto's board after a new chief executive was hired to replace founder Bill Sarris.
Yahoo
05-06-2025
- Business
- Yahoo
Gardners Candies Puts Peanut Butter Spin on OREO with New Original Peanut Butter Meltaway O's
Legendary chocolatier also releases new Original Peanut Butter Meltaway Spread Product review request form: TYRONE, Pa., June 05, 2025 (GLOBE NEWSWIRE) -- Gardners Candies has cooked up a way to make OREO, America's Favorite Cookie, even more delicious. New Original Peanut Butter Meltaway O's begin with an OREO cookie that is covered in Gardner's Original Peanut Butter Meltaway filling then smothered in sweet milk chocolate. They are the perfect mix of classic OREO crunch, silky smooth peanut butter and premium Peanut Butter Meltaway O's are Gardner's second OREO product, joining Milk Chocolate O's – OREO cookies coated in milk also has just released new Original Peanut Butter Meltaway Spread. For the first time, the proprietary peanut butter blend used in Gardners' most popular candies is available as a dip and spread. It was created in the 1960s with help from the Penn State food science department. 'The idea to offer our Original Peanut Butter Meltaway filling as a spread came from customers,' said Bill Sarris, CEO of Sarris Candies, Inc., which owns Gardners. 'They kept asking for it, so we decided to give it a shot. They say, 'the customer is always right,' and in this case they were!' Sold in microwaveable containers, Original Peanut Butter Meltaway Spread is a perfect for dipping fruit, spreading on breads, waffles and pancakes, and drizzling on ice cream and other desserts. The new Original Peanut Butter Meltaway O's ($2.29 ) and Original Peanut Butter Meltaway Spread ($14.99 for 16 ounces) are currently available online at and in Gardner's Pennsylvania retail stores. They are expected to be available later this year in select grocery, convenience store and airport retail locations nationwide. OREO is a trademark of Mondelēz International group, used under license. About Gardners Candies, Inc. Gardners Candies was founded in 1897 by sixteen-year-old entrepreneur James 'Pike' Gardner in Tyrone, Pennsylvania. The brand operates several stores in communities across Central Pennsylvania, distributes a variety of products to retailers across the country, and is most renowned for its famous Original Peanut Butter Meltaways. Beyond regional storefronts and online sales, Gardners Candies offers fundraising programs, business and custom gifting solutions, and private label services for various companies. Acquired by Sarris Candies, Inc. in 1997, Gardners Candies has continued to uphold a legacy of providing quality, locally sourced products with dedicated customer service. For more information, visit or follow Gardners @ Contact:Brad Ritter, Ritter CommunicationsBRitter@ Photos accompanying this announcement are available at: in to access your portfolio
