John: There are no shackles that would prevent one

John: There are no shackles that would prevent one from doing this, but I would think he would be exposed to some small degree of shareholder lawsuit for breach of fiduciary duty, and that if there are really large creditors ($200K plus) they might pursue him personally by using the legal tenet of breaking the corporate shield on the basis of fraud. However, I do not think the GNBT pool of investors, having so little to risk since the stock has not really depreciated since he took over, would get very far in terms of success in practical terms. Its not like the stock was at $50 when he took over.