* Inverness Distribution cites more than $74 mln in debt
* Company was behind "Last of the Mohicans," "Young Guns"
NEW YORK May 3 The Bermuda-based company that
holds the rights to the films "Ace Ventura: Pet Detective" and
"Last of the Mohicans" asked a U.S. bankruptcy judge on Tuesday
to recognize it as insolvent, citing $74 million in debt.
Inverness Distribution Ltd, formerly Morgan Creek
International Ltd, filed a petition in U.S. Bankruptcy Court in
Manhattan, seeking recognition of its ongoing insolvency
proceeding in Bermuda.
Filed under Chapter 15 of the U.S. Bankruptcy Code, the
petition would officially recognize the company's foreign
bankruptcy and protect it from parties looking to seize its
assets in the U.S.
KPMG Advisory Ltd, appointed by the Bermuda insolvency
court in February to liquidate Inverness' assets, filed the
Inverness said it is more than $74 million in debt on a
$150 million loan from Societe Generale, Santander UK Plc, ING
Bank NV and others, according to the court papers.
The company cited a "dramatic and unexplained" decline in
revenues collected from movie studios in exchange for
television and video rights, saying revenues were 36 percent to
71 percent lower than normal in the last quarter of 2010.
Producer James G. Robinson, Inverness' only shareholder,
produced "Ace Ventura," "Last of the Mohicans," "Young Guns"
and "Robin Hood: Prince of Thieves."
He had been slated to back a third film in the popular
"Major League" series that would star embattled actor Charlie
Sheen, but backpedaled in February, saying he would not risk
casting Sheen unless the actor improved his public image.
Sheen made headlines earlier in the year after a series of
insulting rants and erratic behavior prompted his firing from
the hit TV show "Two and a Half Men."
An attorney for the liquidating agents declined to
The case is In re Inverness Distribution Ltd, U.S.
Bankruptcy Court, Southern District of New York, No. 11-12106.
(Reporting by Nick Brown; Editing by Tim Dobbyn)