Billy Corgan and TNA

Attorneys for Billy Corgan (Scott Sims) and TNA Wrestling (Travis Parham) met in court on Wednesday in Nashville regarding Corgan’s current lawsuit against TNA, Dixie Carter, Serg Salinas and CFO Dean Broadhead.

Nate Rau of The Tennessean was in court earlier today covering the proceedings including video of Dixie Carter and her legal team arriving that you can view below. A full breakdown of his tweets during the proceedings is now available online.

Sims argued for an injunction to be granted allowing Corgan to take over Dixie Carter’s shares in TNA. Unsealed documents made public yesterday revealed Corgan would be able to take over should the company become “insolvent.” Sims said TNA mislead Corgan about the company’s debts and excluded him from management decisions, adding that TNA reviewing offers to buy or invest in the company doesn’t prove they aren’t insolvent.

Parham, TNA’s attorney, responded to the claims by Corgan fighting any kind of notion the company was insolvent. He noted that cash flow was only a “small part of the story” and that TNA has “good will, notoriety, merchandising, licensing and is an international brand.” Parham argued that Corgan’s agreement with Carter was illegal under Tennessee law, that it was “predatory lending at its worst” and that TNA is willing to pay off Corgan’s loan.

An attorney was also present from Anthem Media (the parent company of Fight Network that has 2.5% majority shares in TNA) and again reiterated a press release that the company was also willing to pay off Corgan’s loan, minus the transaction premium.

Chancellor Ellen Hobbs Lyle revealed she would be making a ruling on Monday after both sides agreed to not publicly disclose redacted financial debts about the state of TNA.

11 COMMENTS

  1. He didn’t invest in the company because he was bored and it was a Tuesday; they had a working relationship for awhile even pre-Hogan/Bischoff days where TNA would use Smashing Pumpkins’ music for PPVs and things of that nature. That evolved into Corgan taking a behind-the-scenes position in the company, becoming part of creative, and then head of creative, and then to on-air talent, and now President. He’s spent his time and his money on something he’s passionate about, and he seems determined now to have the castle itself, not just its keys.

  2. Actually @jefferyadamphillips:disqus, I would say the beginning is near. I’m not a TNA fan(boy), but it seems clear that this is meaning TNA has at least a few more years in it. In fact, despite being in the worst financial shape it’s ever been in, it’s actually in the best position it has been in years. Granted, it also seems clear that Dixie will no longer be involved in the day-to-day operations AND it’s likely she won’t be the major shareholder soon either, but the company will likely be around for quite some time to come. The company that seemingly has MORE than 9 lives.

    Here’s the reason I say all this. In either likely outcome, Billy gets control of the company (my least fave option) and given all he has gone through thus far to get control, he’ll sink his money in to make it survive at least a few years but I don’t think he’ll be able to keep it alive more than a few years and will get tired of sinking good money into bad BUT he will no doubt pay off TNA’s debts and get to start fresh with the company (which is good for the company of course).

    Second outcome, my preferred and the one it is leaning toward now, is that Anthem takes control of the company (it sounds like the deal has already been struck and they just need to get the courts to reject the sanction to proceed) and they pay off the debt and operates the company going forward. It appears they already have assigned a CEO to take over daily operations and he is already doing so.

    Given they have their own network (FIGHT), can financially back TNA, will have a new CEO overseeing the company, can use a tape library and have a vested interest in it’s growth, this to me is the best outcome for TNA.

    In either case, I doubt the end is near and one way or another, I would argue the (new) beginning is near.

    Oh, and this also (even though she can’t perhaps see it yet) benefits Dixie as the company she has clearly been passionate about (even if she may have been over her head and has made many questionable decisions) will continue, she will get out from under the debt, be a figure-head, have a (roughly) 15 year history as a President of a company in an industry where even Paul Heyman’s Genius along with amazing talent and a brand name in ECW and a company with unlimited resources and a TV Network behind it (in WCW) couldn’t survive, still own a small percentage, presumably has structured a deal where she will still have a job and the ability to move onto somewhere else if not, and also presumably she will be at least given some form of a buy-out.

    So, I think the company will survive (perhaps thrive) and all will come out ahead (as Billy will get his loan back if Anthem gets the company AND can actually start another promotion should he choose)

  3. Per my (perhaps too long) note further below, as a summary, I actually think this is the best thing that could happen to TNA. Either Billy gets control of the shares AND pays off their debt and TNA (even if with a new name) gets a fresh start, or Anthem gets control, puts a new CEO in place (which seems to have already happened), they have a TV network behind them and the cash and vested interest in seeing TNA succeed, they will certainly pay off all the debts and therefore have a fresh start.

    It also means Dixie gets out from under the debt, the company she ran for so long (whether bad or good) keeps running, she gets to keep a small amount of shares, probably gets a new position or the same one out of it and I’m thinking a buy-out (whether small or large) as part of the agreement to turn over her shares.

    “Her” company gets a new lease and reaches new heights rather than going under.

    Everyone wins either way, as in the case of Anthem running it – my preferred scenario – Billy gets his money back and can start fresh with his own promotion if he still wants to.

    The company that has 11 lives.

  4. i certainly respect billy’s love of professional wrestling, but he should follow bob mould’s lead by getting out, and sticking to what he does best, music.

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