circle entertainment inc (CEXE) Snapshot

Circle Entertainment Inc. filed its 10-K on Mar 27, 2013 for the period ending Dec 31, 2012. In this report its auditor, L.L. Bradford & Company, LLC, gave an unqualified opinion expressing doubt that the company can continue as a going concern.

Circle Entertainment Inc. announced that to settle the stockholder derivative lawsuit filed on April 28, 2010 by The Huff Alternative Fund, L.P. and The Huff Alternative Parallel Fund, L.P. on behalf of Circle Entertainment Inc. against certain of the company’s officers, directors and stockholders in the New York Supreme Court in Manhattan, New York, the company agreed to, among other matters, elect to its Board of Directors an additional member who is independent and have such additional independent member appointed by the Board to serve on the Board’s Audit Committee, Compensation Committee and Nominating and Corporate Governance Committee, within sixty days of January 16, 2013, the effective date of the settlement agreement. Effective March 1, 2013, in accordance with the requirements of the settlement agreement, the Board, upon the recommendation of the Nominating and Corporate Governance Committee, unanimously elected Andrew Perel as a member of the Board of Directors to serve until the next annual meeting of stockholders or the earlier of his resignation, removal and death and appointed Mr. Perel to serve as a member of the Board’s Audit Committee, Compensation Committee and Nominating and Corporate Governance Committee. Immediately prior to Mr. Perel’s election to the Board and his appointment to the Audit Committee, the Compensation Committee and the Nominating and Corporate Governance Committee, the Board increased the size of the Board to seven members from six members and increased the size of each of the Audit Committee, the Compensation Committee and the Nominating and Corporate Governance Committee by one member. Mr. Perel is a Partner at the law firm of Michaelman and Robinson. He was previously the Executive Vice-President, General Counsel and Secretary of a publicly traded real estate investment trust, and has worked as outside counsel to major financial institutions regarding real estate and capital markets transactions with emphasis on origination, securitization, mergers & acquisitions, corporate finance, litigation and insurance; providing due diligence, loss prevention, risk management and regulatory studies for the purchase, sale and financing of commercial real estate.

The appeal period for the court-approved Stipulation and Settlement Agreement to settle the stockholder derivative lawsuit filed on April 28, 2010 by The Huff Alternative Fund, L.P. and The Huff Alternative Parallel Fund, L.P. (collectively Huff) on behalf of Circle Entertainment Inc. (company) against certain of the company’s officers, directors and stockholders in the New York Supreme Court in Manhattan, New York (Index No. 650338-10) expired on January 14, 2013 and the related court order approving the settlement agreement is final and non-appealable. The $950,000 payment due and payable under the settlement agreement to Huff was funded on January 16, 2013; $650,000 by the company and $300,000 by its insurance carrier.