They failed to reach an agreement with investors, so it was forced to initiate bankruptcy proceedings against the New York-based film company founded by Harvey Weinstein and his brother Robert Weinstein, BBC News reported on Monday.
Two weeks after the investor broke up with Weinstein Co. after the New York Public Prosecutor filed charges against the company. The company’s management then only considers bankruptcy as a viable one.
Harvey Weinstein has been accused by dozens of women in public by sexually abusing and molesting them, and six women filed a group complaint against the filmmogul, including allegations of sexual violence. Weinstein acknowledged improper sexual behavior, but consistently denied that he would ever have been involved in sexual intercourse.
The company reported in its announcement that it had initiated negotiations on the sale of the company in order to preserve the assets of the company and the jobs, but which was ineffective. As they wrote, “An ordered bankruptcy process has remained the only viable option to maximize the company’s remaining value”.
In the indictment, Weinstein is accused of having sexually harassed, exploited and humiliated the women of the studio for years and even threatened them with life threatening. In this document, other leaders of the company, including co-founder Robert Weinstein, are accused of the fact that despite the evidence, the company did not protect employees and cover up Harvey Weinstein’s affairs.
Eric Schneiderman, Attorney-at-law of New York, filed a lawsuit against the producer and his company for an indefinite amount of compensation for Weinstein’s and his company’s damages, and demanded a fine to compensate the victims.
After the Weinstein scandal in October, Harvey Weinstein was removed from the company, and the American Academy of Films withdrew its membership. The fallen filmmoggin is also under police investigation in America and Britain for suspected sexual crimes.