Yes, September is correct. We are going to launch a new TV network in 4 months. This is a huge undertaking and the 4 month time line would be impossible for most companies to achieve.
For almost a year we put all our efforts into Punch TV. We could never have known that JC was going to lie to me directly about affiliates leaving. He sent me a signed sworn statement that we where in 60 million homes two days after the upfronts. That is when I checked to verify this and found we had lost 40 million of those homes 2 months earlier and he had been hiding this from us. We had original contracts for these affiliates in the files. I found out later JC hid the letter he received 2 months earlier telling him they where leaving us.
Yes, we lost 3 months and saw no revenues for that period of time. But it's not because we made no revenues. All advertising revenue checks went to the Punch offices and where deposited into our Punch TV bank account which JC was in charge of. JC took the money that was coming in and as soon as it hit the account he moved it all to a bank account he controlled under the name of Patrice Collins Productions. When we caught him in the lie about the missing affiliates we dug deeper. This is how we found out about the money being moved to this account which he only controlled. We confronted him at once. As we confronted him and waited for an answer, we found more. We found out that JC had formed a new corporation in Delaware called Punch TV. This was done without our knowledge. He also had months before signed a new contract with our uplink provider under the name of Patrice Collins Productions. This put our TV signal under the control of this other company which he controlled. Days later he announced that he was now CEO, Chairman and President of the company. He sent me an email firing me. He then issued a fake press release saying he is now CEO and he was filing a complaint against me with the SEC for filing false statements with the SEC. (Which I never did)
He did all this after we caught him. I feel he did all this to try to take over and try to hide what he had done. The reality of course was there was no legal way for him to suddenly just decide to be CEO. There are steps and procedures that are required by law to follow to make these changes. The least of which includes the fact that I would have to resign and vote him in.
Our two teams of lawyers wanted over 100k to go after him. As I went back and forth with them we decided our first goal was to get rid of JC and the people that aided him in what he had done to us. Secondly, we wanted to stay in the Network TV business. As I was arranging funding personally to fight JC, he states publicly that he has rescinded the deal with us. He did this under California law. We signed the agreement under Florida law so the California statues had no power over the agreement. My lawyer saw JC's ridiculous move as a God send to us. Even though we did not "have to" act on the notice of rescission, we could decide to agree to it. This way we did not have to spend hundreds of thousands of dollars to fight him. He would not only be gone, but he would have to pay us back for the stock he was paid for both the Punch assets and his personal employment contract.
As far as staying in the Network TV business, I had learned enough during that time and made enough connections that we would be able to stay in the business. I knew nothing about this business a year ago and now we will launch a new TV network with great partners and programing in affiliate cities that we run ourselves in just a few months.
In the last 30 days I put a new team together. We have a new President and new Board Member. We have a new director of programing. We have signed deals with new affiliates, advertisers and content partners. We are finishing up negotiations for the uplink to have our network on Galaxy 19 which is where all the cable companies are. We are finishing our deal with our new partner to broadcast, program and deliver our network feed 24/7.
I did not want to arrive at this destination in this way. I hate that we went through this. We lost months and we lost money. We took what was thrown at us. We moved quickly and will end up coming out ahead.
Yes, September is correct. We are going to launch a new
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