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Former Midway Bosses, Board Members Sued For "Corporate Waste"

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And the soap opera surrounding the demise of Midway continues! This week, stay tuned as former majority shareholder Sumner Redstone and several former board members are sued for "corporate waste and unjust enrichment".

The suit has been filed by Midway's creditors, who cite "a series of disastrous and ill-advised financial transactions that largely occurred during 2008" as inspiration. According to the creditor's allegations, a number of dealings surrounding the company's sale to Mark Thomas last year were engineered by Redstone and Thomas "to the detriment of Midway".

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In a nutshell, this means that the former bosses of the company stand accused of neglecting their duties as the captains of Midway in favour of making a buck while the ship sank.

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The creditors are seeking to have the transfer of ownership from Redstone to Thomas ruled fraudulent, and overturned, as well as being awarded $90 million that they allege Redstone flagged as being "debt" when it was nothing of the sort.

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Midway Creditors Sue Redstones, Board Members Over Sale of Company [Gamasutra]