United States Files Complaint Seeking Receivership, Injunction And Money Judgment Against Venture Capital Company

PHILADELPHIA - A civil complaint and consent decree were filed yesterday on behalf of the U.S. Small Business Administration (SBA) against Murex Investments I, L.P., a limited partnership in Philadelphia, PA, announced United States Attorney Zane David Memeger.  The complaint alleges that Murex entered into an agreement with the SBA, wherein the SBA provided Leverage to Murex through the guarantee of debentures with a face value of $8.25 million.  Under the terms of that agreement, Murex was prohibited from exceeding a certain level of Capital Impairment and the complaint alleges that Murex has violated that level.  At the time of the violation, $3.4 million of the debentures remained outstanding.

The consent decree provides for the appointment of the SBA as Receiver of Murex for the purpose of marshaling and liquidating Murex’s assets and satisfying the claims of its creditors.  It also provides for a money judgment in the amount of $2,588,850.54 plus interest from the date of the entry of judgment.

The case was referred by SBA counsel Arlene M. Embrey and is being handled by Assistant United States Attorney Richard M. Bernstein.