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Posts Tagged ‘Point Blank Solutions’

Armor Holdings Take 2?

Tuesday, December 27th, 2011

Ok, it’s not the same thing but we do see Sun Capital Partners gobbling up armor companies. In addition to Protective Products Enterprises and Paraclete that we recently wrote about, they have also purchased Point Blank Solutions Inc (in October) which consists of Point Blank Body Armor and PACA Body Armor. That puts several armor companies under one “roof” and when you add in the other companies under the Sun Capital Partners umbrella that operate on the fringes of the tactical industry; Kelty, Sierra Designs, Slumberjack, Ultimate Direction and Royal Robbins, you begin to see the possibility of some synergy. Let’s see if they do as well.

SEC Charges Military Body Armor Supplier with Accounting Fraud

Tuesday, March 1st, 2011

According to a Wall Street Journal report the Securities and Exchange Commission has charged Pompano Beach, Fla.-based DHB Industries (now known as Point Blank Solutions) with committing “engaged in pervasive accounting and disclosure fraud through its senior officers and misappropriated company assets to personally benefit” its former chief executive, David Brooks. The SEC separately charged three of the company’s former outside directors and audit committee members; Jerome Krantz, Cary Chasin and Gary Nadelman, saying they were “willfully blind to numerous red flags” signaling the fraud.

In particular, the trio ignored signs that the company was paying for prostitutes as well as other questionable expenses. “In fact, although these payments were discussed at board meetings, these discussions were concealed by omitting them from the official board minutes,” according to claims by the SEC.

It’s been awhile since we have seen anything on this case. Brooks is no stranger to the courts and was previously charged for fraudulently diverting $10 Mil in company funds for his personal use. You may also remember that Steven Colbert picked him as the “Alpha Dog of the Week“. Additionally, Point Blank is currently in bankruptcy court.

Point Blank Files Chapter 11 – For Reals

Saturday, May 22nd, 2010

They really did it this time. No more of that temporary protection crap. Point Blank Solutions filed for Chapter 11 bankruptcy protection in Federal District Court in Wilmington Delaware on Wednesday citing the same reasons they asked for temporary protection last month. According to recently filed documents, they list assets of $63.9 million and debt of $68.5 million as of Feb. 28 so no word on the impact of the $20 million of Debtor-in-Possession (“DIP”) financing they had arranged for in April. A sizable portion of the debt is said to be tied to their former CEO so it has been difficult to find a buyer to get them back on track.