executive level incompetence

[savvick]

[Florida]My employer recently filed for bankruptcy/ chapter 13. Prior to and since then decisions made have resulted in the companies stock devaluating to less than 1.00usd. Now the company is saying that the stock will be worthless upon emerging from bankruptcy. Management is not doing anything to reverse the decline in stock value, instead they appear to purposely want the stock to zero out this way new investors can be sought. Is there reason for legal action against management and their handling of the companies stock.

 

[HomeGuru]

[Florida]My employer recently filed for bankruptcy/ chapter 13.

Prior to and since then decisions made have resulted in the companies stock devaluating to less than 1.00usd. Now the company is saying that the stock will be worthless upon emerging from bankruptcy. Management is not doing anything to reverse the decline in stock value, instead they appear to purposely want the stock to zero out this way new investors can be sought. Is there reason for legal action against management and their handling of the companies stock.

**A: possibly but check with the BK Trustee.