https://finance.yahoo.com/news/avaya-board-accused-massive-fraud-171042451.html
14 replies (most recent on top)
Looking forward the details to be releaed my mid June on the SEC Charges. Board members listed as well.
I think you’ll find it is the inevitable consequence of pretending to have cloud sales that you don’t actually have.
We would hope the board would actually be held to account for their poor judgement, but alas they will probably all be covered by Avaya paying legal fees and it won’t cost any of them anything beyond mild inconvenience, they will each continue to draw in excess of $500k each for their incompetence.
There is no money in being hardworking - lowly ones you fool yourselves.
It’s fireworks time. Sit back and enjoy! It will take a while for the blue touch paper to burn through, but then the sky will be full of blinding explosions of color.
🚨 CORRECTION 🚨
The legal filing IS NOT just "Jimmy C" where the person with "KK" initials proudly posted below as if they were the most clever of the bunch to find this nugget! WRONG
The SUMMONS is registered as
A6 Capital Management LP v Chirico, 650262/2023, New York State Supreme Court, New York County
Note how all the PLAINTIFFS are also NOT listed? That's because they ABBREVIATE and only list the first few names on both sides, in ALPHA ORDER
No one ever said Avaya was named in the SUMMONS
EXECS & Board of Directors from June 2022
Yet the choices the Execs and BOD made IS AVAYA so it impacts everyone and everything. The summons lays the groundwork for the SEC to address the misleading statements and actions of said execs and all misleading statements by the company in any form. This is just the beginning. Anyone with an ounce of common sense knew this was inescapable and was always coming.
This is nothing the smart folks in Avaya didn't already know and were highlighting as dubious force long time and it's crystal clear the senior leaders that are unbelievably still here SS, DA, NAL, SJ, FH, Mussolini to name a few were all complicit in the massive fake quarterly numbers. Now Masawreck is throwing more gasoline on an already out of control fire......
"Individual Members of Management"
Chirico et al
https://twitter.com/AvayaAvya/status/1622557117537308673?s=20&t=68eFhWDA5PGAq7UpTF38zg
Critical to Note that it's NOT a lawsuit until all parties are served. It is believed CEO Masarek has avoided the process server, so the actual lawsuit isn't official until he is served.
Stand up CEO who is running from reality. Bravo.
Also, John Sullivan was named as he made misleading statements on Avayas stability. Expect more personnel named, especially anyone who used social media to say 'its just noise" or "Avaya is simply managing the debt deal and is just fine and has plenty of cash'. ALL EMPLOYEES are accountable for any statements they made about the well being and prospective success of Avaya. This is public Company 101. Too bad few Avaya employees understand this fundamental rule.
Debt negotiatins? How so early December of you.
It was reported several weeks ago that there were Bond Holders who refused to sign the NDAs required to participate in the private debt negotiations. It is THESE bondholders. They refused to participate so they could reserve their right to take legal action.
So, NO DEBT deal. Period.
The Article Simply Cites the Summons. Chirico is first name listed. That is because his name is first in Alphabet of All those names in the actual Summons. I've read Actual Summons. It names the entire Board of Directors from June 2022 Plus BOTH CEO's.
They are personally named in the Summons. Not Avaya. It blames those in charge at the time of providing false statements, it does not target Avaya. Yet that doesn't matter. Avaya will not survive what will be disclosed as a result of this summons. It will force all misdeeds into public record
Read that article closely, the last paragraph has an important detail. The law suit names Jimmy C, not Avaya.
This also likely signals the negotiations with debt holders are either done or bad enough to sue.
KARMA
You can't con the con men. Avaya dirty deeds are biting them like a bitxx.
It's about damn time the big creditors use their deep pockets to get the big g-n attorneys against Avaya's criminal execs and board --tat is what this is!
This was only a matter of time. Avaya raised $600m in July which was supposed to and agreed to retire the full $350m unsecured debt due June 2023, but Avaya leadership & the BoD's (Influenced by Apollo) made a last minute decision to only paid off $129m of the $350m & forced Avaya to hold the remaining $221m in escrow. Avaya Management, their BoD's and Apollo should all be in jail and now Alan Masarek has been brought into the mix as the remaining $221m should have been paid off prior to the Bond Holders selling at a significant loss, but the agreement was never and still hasn't been honored. Just bad business and bad management decisions.