Posted in: Black Mask Studios, Comics, Comics Publishers, Dynamite, Fantagraphics, Titan, Vault | Tagged: diamond, steve geppi

Comic Book Publishers Vs Diamond… And What's Up With Steve Geppi?

A tale of two comic book publishing groups vs Diamond Comic Distributors... and what's up with Steve Geppi?

There are two main groupings of comic book publishers who are filing paperwork against Diamond Comic Distributors Inc, the debtor in the current bankruptcy action, over the plans to sell consigned inventory owned by the publishers, but being sold off to benefit the banks who have funded the Chapter 11 bankruptcy proceedings so far, such as JPMorgan Chase, as the company itself has been sold to Ad Populum/Sparkle Pop.

The first is the Ad Hoc Committee of Consignors, made up of Ablaze, American Mythology Productions, Avatar Press, Battle Quest Comics, Action Lab, Drawn & Quarterly, Fantagraphics, Green Ronin, Hermes Press, Living the Line, Paizo, Udon and Zenescope. The second is the Consignment Group, led by Dynamite Entertainment, and including Aspen, Black Mask, Dstlry, Heavy Metal, Magnetic, Massive, Oni, Panini UK, Alien Books, Graphic Mundi, Titan Comics and Vault Comics.

So what are they up to right now? Well the Ad Hoc Committee has just served Sparkle Pop and JPMorgan Chase with a subpoena to testify at a deposition, as well as requesting documents and the right to submit interrogatories (written questions to be answered under oath), from Diamond Comic Distributors, Inc, the debtors in the bankruptcy case. While the Consignment Group are also requesting documents from Diamond Comic Distributors, Inc, as well as the right to conduct interrogatories as well.

But I have also learned that Consignment Group will be directly pursuing Steve Geppi, the former founder and owner of Diamond, and still the owner of the likes of Gemstone Publishing. Because they believe that, if the sales of Diamond Comics, Alliance Gaming, Diamond Select Toys and Diamond UK are not sufficient to cover loans from JPMorgan Chase, then other firms owned by Steve Geppi could be sold, namely Rosebud Entertainment and Renegade Games. And if that were still not enough, the Consignment Group believes that Steve Geppi had a personal guarantee to cover the shortfall. If JPMorgan Chase does not get repaid from the sale of the primary assets, then they will pursue additional avenues, which include Steve Geppi personally.

It seems that there is still, even at this late stage, plenty more to come out.

You can use these Diamond tabs to keep up with the latest on Bleeding Cool. Here's a timeline if you want to catch up…

• On the announcement of Chapter 11 on the 14th of January, Diamond started a 13-week bankruptcy process run by financial firm Raymond James, got financing to operate, and announced an auction for its assets.
• Those assets included Diamond Comic Distribution, Alliance Gaming Distribution, Diamond Select Toys, CGA and Diamond UK
• Universal Distribution was named the Stalking Horse bidder for Alliance Games and Diamond UK, which required a purchase commitment of thirty-nine million dollars, but with certain discounts and privileges for taking that position.
• The auction took place, and it went late. There was food and breakfast billed for.
• And Alliance Entertainment, or AENT, was named the top bidder for the assets of $72,245,000, though not for Diamond UK. This was widely announced, including by Diamond themselves.
• Then we learned that a joint bid by Universal Distribution and Ad Populum came second and was named the back-up bid, with a bid of $69,130,000. With Universal getting Alliance Gaming and Diamond UK, and Ad Populum getting Diamond Comics, Diamond Select Toys and everything else. Basic Fun was third with fifty million.
•  Bruce Ogilvie, AENT chairman, was invited onto a podcast with comic book retailers Dennis Barger and Jesse James after, apparently, watching my performance on the Beyond Wednesdays podcast in which he talked about AENT and Diamond.
• A court hearing with the Honorable Judge Rice in Courtroom 9-D at the United States Bankruptcy Court for the District of Maryland at 10 am was intended to ensure the legality of the bid and the process.
• But instead, over that weekend, the debtors declared that they had chosen the back-up bid from Universal and Ad Populum instead of AENT, despite AENT having bid more. No reason was given.Diamond's Dick Move: the
• AENT filed a lawsuit regarding this decision.
• It took the bankruptcy court to reverse that decision and state that AENT, with the higher bid, had won, though they would have to withdraw their lawsuit.
• AENT has terminated their winning bid and purchase.
• Universal Distribution and Ad Populum were back in the running
• Diamond declared "business as usual" but the courts threatened Chapter 7 over late paperwork.
• AENT sued Diamond, claiming fraud
• Diamond says it's all in hand and went back to court, wanting to be owned by Universal and Ad Populum.
• Sale of Diamond to Universal and Ad Populum was approved by the courts.
• Though Ad Populum paid more than we thought.
• Podcast blamed/credited with the current state of affairs
• Diamond tells Skyrush to stop claiming they won CGA.
• As part of court filings, Diamond released details for every comic store on account.
• We have some finality.
• Ad Populum and Universal Distribution officially acquire Diamond and related assets.
• The layoffs have begun.
• And continue.
• Diamond Select Toys has closed
• Diamond try and reassure retailers over ComicSuite
• Courts withdraw Chapter 7 bankruptcy threat
• We look at the future of Diamond Previews again
• PRH pulls out of Diamond entirely
• Well, not entirely, the UK can stay.
• Hermes Press says Diamond doesn't want to distribute their comics anymore… or anyone's.
• But Diamond pushes back on that, as they publish a new Previews.
• And they assure comic book stores that everything is going to be fine. Honest.
• Then send a letter to publishers which looks like it isn't
• Now they are looking for more money and longer to pay it back.
• Dynamite would like half a million now, please.
• Udon and Manga Classic have now cancelled all Diamond orders.
• Then so did Drem Productions
• And PRH starts to close their special retailer joining offer
• Diamond gets a fourth wave of funding and deadlines.
• Philbo Distribution launches.
• Alliance Entertainment hire seven senior Diamond staffers.
• Universal Distribution rumoured to be hiring Diamond staffers to enter the US market.
• Massive Distribution expands within Lunar
• Diamond has cancelled all their PRH orders.
• There are problems with Ad Populum's first payments to comics publishers
• Ad Populum sues AENT alleging breaches of confidentiality and staff poaching.
• Ad Populum still ghosting publishers.
• Bankruptcy timeline revealed it began in July 2024
• Diamond ends cash on delivery sales
• Hermes Press hires Steve Leaf
• Diamond responds to Dynamite
• Diamond closes No Cost Orders, sends out reminder emails to comic book stores
• Boom Studios makes layoffs.
• Zenescope pulls out of Diamond.
• AENT Says Diamond Claim They Poached Staff "Fails As A Matter Of Law"
• It's Claimed New Diamond Owner Said He's "Playing Chicken With Idiots"
• Mike Schimmel Talks, Under Oath, About The Diamond Comics Firings
• Dynamite jumps to Lunar Distribution
• Diamond takes Previews digital only
• Universal Distribution to distribute in the USA as well as Canada, starting with DC Comics
• Conflicting Statements Over Diamond, AENT And Ad Populum Lawsuits
• This Week, There Are Only Five Comics On Diamond's FOC
• Robert Gorin, Chief Restructuring Officer Of Diamond Comics, And Geek
• Titan Has Not Received Payments From Diamond Comics, Stops Supplying
• Fantagraphics Says That Diamond Is Holding Their Comics Hostage
• Kathy Govier, Chief Marketing & Communications Officer, Out At Diamond
• Confirmed, AENT Tried To Buy Diamond In October To Avoid Bankruptcy
• Dynamite Pulls Their Comics Out From Diamond Comic Distributors
• Diamond Moves To Liquidate All Consigned Comics "Held Hostage"
• FairSquare Graphics Calls Diamond "Thieves & Bandits", Brings Receipts
• Ultimate Comics Chain Refuses To Buy Diamond Liquidation Stock
• This One Trick Means Bandai Get Their Pokémon Cards Back From Diamond?
• Dren Productions Want To Know If Diamond Shipped Their Recent Comics?
• Publishers Have 3 Weeks To Object To Diamond Comics' Liquidation Plans
• Emily Botica, Vice President At Diamond Comics, Is Leaving Next Week
• SDCC Gossip: What's Happening With Diamond At San Diego Comic-Con?
• Universal To Offer DC Comics To US Retailers At Same Lunar Discount
• Comic Publishers To File Paperwork Against Diamond Comics This Week
• Diamond Pulls Its Pullbox And Cancels Its ComicSuite For Comic Shops
• The Exit Interviews Of Diamond Comic Distributor Staff In Full
• Andrew Aiello, Tom Derby & Ben Davis Buy CGA After Diamond Bankruptcy
• Dynamite Owed A Million By Diamond, Can't Make Payroll Next Week
• Ad Populum Can't Yet Deal Directly with Diamond Consignment Vendors
• As Court Denies Dynamite Over Diamond, Comic Creators Rally Round
• Paizo speaks out about their Diamond troubles
• TwoMorrows Legally Objects To Diamond Bankruptcy Liquidation Of Stock
• Graphitti Designs & Magma Comix File Legal Paperwork Against Diamond
• Dynamite, Fantagraphics, Drawn & Quarterly Team Up Against Diamond
• Sealed Transcripts Over The Diamond Comics Bankruptcy Auction, Opened
• Diamond's Reason To Reject Alliance Entertainment Was Down To One Hour
• AENT Claims "The Fix was Definitely in" on Diamond Bankruptcy Auction
• Diamond Comics Was Already Looking For A New Buyer Back In 2023
• Mad Cave Studios makes layoffs
• Dynamite Signs With Simon & Schuster For Bookstore Comics Distribution
• Avatar Press Joins Anti-Diamond Liquidation Publisher Coalition
• Bankruptcy Court Moves Diamond Hearings Till After San Diego Comic-Con
• Image Says Diamond's Goal Is "Stealing" $3,000,000 of Comics From Them
• JPMorgan Chase Reminds Diamond Comics As To Who Gets The Money
• Universal Makes DC Comics Available To US Shops Via Alliance Gaming
• Diamond Comics Sells Diamond UK For Over $2 Million To… Diamond UK
• How A Podcast "Created A Lot Of Problems" For Diamond Bankruptcy
• Diamond Comic Distributors More Than Doubles Its Shipping Prices
• The Empty Spaces Of Diamond And Dsltry At San Diego Comic-Con
• Alliance Claims Diamond Bankruptcy Auction "Rigged From The Beginning"
• Publishers Don't Know Who's Selling The Comics Coming Out of Diamond
• Remember, Remember, The 18th Of August For Diamond Comics Bankruptcy
• Overstreet Comics Price Guide Delayed Six Months by Diamond Bankruptcy
• Dynamite Fundraising Humble Bundle Last Day – $1600 Of Comics For $16
• Comic Book Publishers Vs Diamond… And What's Up With Steve Geppi?

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