Former SGIS Shareholders File Lawsuit Seeking Over $75 Million from Salient Federal Solutions

Former SGIS Shareholders File Lawsuit Seeking Over $75 Million from Salient Federal Solutions

To: LEGAL AFFAIRS AND NATIONAL EDITORS

Contact: Betsy Bourassa, +1-202-446-1157

Salient indicted of crack of agreement and swindling in bid to acquire SGIS for "grossly inadequate" compensation

ALEXANDRIA, Va., Dec. 14, 2011 /PRNewswire-USNewswire/ -- The co-founders and former shareholders of SGIS, a technology-based supervision constrictive firm, announced currently that they have filed a lawsuit opposite Salient Federal Solutions, Inc. seeking over $25 million in saving damages, and orthodox and punitive damages, collectively totaling over $75 million, associated to a sale of SGIS to Salient final year. The plaintiffs lay that a care during Salient, including Ted Dunn, S. Brandford Antle, and Ray Oleson, along with private equity firm Frontenac Company LLC, intent in a "classic flimflam" designed to acquire a rarely successful and fast flourishing organisation for grossly unsound consideration.

Two of a plaintiffs, Hany Girgis and Vince Virga, founded SGIS in 2002 out of their possess homes regulating personal savings. By Jun 2010, they had built a association into a poignant supervision constrictive organisation with approximately 675 employees, 14 offices around a country, and some-more than $125 million in annual revenue. SGIS supposing technology-based constrictive services to a U.S. Department of Defense, a U.S. Department of Homeland Security, a U.S. comprehension community, NASA, and a U.S. Department of Justice.

"We were means to build a major, national constrictive organisation in usually 8 years by adhering to a core values and operative tough to do a right thing for a business and employees," pronounced Hany Girgis, Founder and former CEO of SGIS. "It's hapless that a exchange with a new tenure have forced us to record a lawsuit, yet we are assured a authorised routine will yield for a usually fortitude to a dispute."

"We done poignant sacrifices to build SGIS from a belligerent adult and couldn't be some-more unapproachable of a classification we created," pronounced Vince Virga, former President during SGIS. "When a defendants purchased SGIS, Salient acquired not usually a fast flourishing association with an superb repute and some of a best business in a industry, yet one of a excellent teams ever assembled. Selling a association we worked so tough to build was a many formidable preference of a lives. You hatred to consider that we chose a wrong organisation to lift on a SGIS legacy."

In a complaint, filed in U.S. District Court for a Eastern District of Virginia, a plaintiffs outline how Salient and Frontenac reneged on their initial offer to squeeze SGIS and prompted a plaintiffs to follow by with a sale regulating a guarantee of a fortuitous opening remuneration a defendants never dictated to make. Specifically, a censure alleges that Salient and a leadership:

    --  Reneged on their initial "all cash" offer to squeeze SGIS         after a plaintiffs had incited down offers from other         intensity buyers;     --  Conspired with private equity organisation Frontenac to tempt the         plaintiffs to sell SGIS by proposing a multi-million dollar         fortuitous opening payment, ordinarily referred to as an         "earn out," that Salient never dictated to pay;     --  Made element misrepresentations and omissions during the         parties' endless discussions per a performance         remuneration and a correct calculation;     --  Knowingly employed mixed crude business strategy and         accounting manipulations designed to revoke a performance         remuneration to a plaintiffs to zero, even yet a company         gifted poignant expansion during a opening payment         period;     --  Asserted several meritless rationalizations for their failure         to make a opening payment;     --  Committed tactical breaches of their contractual obligations         and stonewalled plaintiffs' steady requests for information;         and     --  Refused to rivet in good faith efforts to solve a dispute         over a opening remuneration obligations. 

The plaintiffs are seeking remuneration of all indemnification due to Salient's crack of contract, estimated during over $25 million, three-way indemnification underneath Virginia's anti-conspiracy statute, and punitive damages.

The box is styled Girgis, et al. v. Salient Solutions, et al., U.S. District Court, Eastern District of Virginia.

SOURCE Hany Girgis and Vince Virga

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News referensi http://news.yahoo.com/former-sgis-shareholders-file-lawsuit-seeking-over-75-143113104.html