NYD - I do not think there is a current investigation; that would provide at least quasi-legitimate cover for management - having someone else to blame. I think mismanagement has resulted in no ability to generate revenue, and no revenue has resulted in a failure to pay rent, make company filings, or meet any other debts owed by the company. Now it is a matter of time until creditors force bankruptcy, and the companies are liquidated in order to pay off creditors, at which point Moscato and the rest of management just walks away.

Why did the BOD let it get this far? I think a combination of arrogance and incompetence. Those who are not necessarily either are leaving or have left already for greener pastures (or at least pastures where there is some "green" left). If the companies can't afford to pay someone to prepare and file the 10-Ks or 10-Qs, you think they can afford to pay counsel to defend them in these lawsuits? The lawyers will withdraw representation, the case will proceed to judgment against them, and the companies will go belly-up. Without a regular source of revenue, there are too many faucets turned on that will drain the money reservoir, and it will dry up soon.

The vultures are circling - no one will make any offer for any part of these companies, because any interested party will simply wait until they can buy them at a huge discount at bankruptcy liquidation.

GL to the buyers. Maybe some good product or service eventually will come from the ashes of the fire sale.