Axium International Inc., the entertainment industry's third-largest payroll services and accounting firm, filed for liquidation bankruptcy and shuttered its offices in Los Angeles, New York, Toronto and London.
The Chapter 7 petition filed Tuesday in Los Angeles said Axium "lacks sufficient liquidity or other resources" to meet its financial obligations.
Employees were told in e-mail messages that the company had a "liquidity crisis" that forced it to cease all operations, said Randy Klinenberg, chief of Axium's rights-management software unit RightsMax.
"They sent out an e-mail that said everyone needs to go home and not go back to work, because the bank had frozen the accounts and we were no longer in business," Klinenberg said.
There was no indication if the bankruptcy was related to the Hollywood writers strike, now in its third month.
A voicemail message left Wednesday for Axium attorney David Poitras, who filed the bankruptcy, wasn't immediately returned.
Companies like Ensemble Chimes also filed chapter 7 bankruptcy.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment