Intechra Investors Lose Their Shirts With ECP Transaction – Investigation of Claims Imminent
San Diego, CA – August 27, 2009 — On August 11, 2009 the assets of Intechra Holding Company (IHC or Intechra), a leading provider of information technology disposal services, were acquired by Environmental Capital Partners (ECP). The transaction was facilitated by Marathon Asset Management (Marathon) after notification to IHC of a formal UCC1 Article 9 foreclosure. In essence, the IHC executive management and its Board of Directors were unable to meet debt obligations and were in default to Marathon. Therefore, the IHC assets that were used as collateral for debt were seized by Marathon.
A myriad of investors in IHC lost their entire investment. In a letter to investors, Michael Profit, Intechra CEO and David Wilds, Intechra Chairman, say “Unfortunately, while any private investment in a young company is risky, the confluence of world and U.S. macroeconomic conditions and the worldwide financial market crises created an almost “perfect storm” in Intechra’s case… We can assure you that Intechra’s management and board explored every practical alternative to attempt to salvage value for Intechra’s stake holders.”
Several outside investors in Intechra have discussed a potential lawsuit against the Board of IHC, as well as its former executives. “IHC needed to conserve cash and act prudently, instead IHC executives were flying on corporate jets,” says Stampp Corbin, an Intechra investor. Corbin is a pioneer in the IT disposal industry and he built RetroBox, one of the most successful companies in the industry. IHC bought RetroBox in 2005. Intechra investors will also be investigating whether misleading financial information was provided to investors, as well as whether IHC employees misappropriated assets of the company. Corbin says “the investors in IHC want answers. It is not acceptable to send a letter saying oops, we mismanaged the company and your investment was lost, when the Board and executive management did not, and still refuses to, provide investors with information about their investment.”
Regarding the ECP transaction, Intechra CEO Michael Profit has publicly said “This transaction validates our business strategy and confirms the market opportunity … when many others in the industry are struggling.” In direct contradiction to his public statement, Profit wrote to investors “it is safe to say that no stockholder of Intechra or holder of Intechra’s warrants, convertible promissory notes or Installment Stock Issuance Agreements will receive any assets upon dissolution or liquidation of the company.”
For more information contact:
Stampp Corbin
RetroBox Minority Investors
[email protected]
4225 Arista Street
San Diego CA,
92103
(614) 579-4136
