Billy Corgan Says TNA Is Insolvent; Corgan To Approve New Business Deals, Tape Library Note

Court documents in Billy Corgan's lawsuit against TNA and others were unsealed today. One such document, a temporary restraining order against the defendants (TNA, TNA's parent company Impact Ventures LLC, Dixie Carter, her husband Serg Salinas, and TNA Chief Financial Officer Dean Broadhead), revealed that Corgan claims that Impact Ventures is "insolvent."

In part, the order provides that Corgan "is likely to prevail on the merits of its claims because Impact Ventures LLC is insolvent, and, as a result, plaintiff is entitled to exercise controlling voting rights in the company."

Also, the order dictates that TNA and Impact Ventures are prohibited from taking any action without Corgan's consent. Essentially, this means that TNA cannot enter into any new business deals without Corgan's approval.

Additionally, neither side of the litigation may sell TNA or its tape library until ordered by the Court. This development may put TNA in a difficult position; however, it also prevents Corgan from selling his claim to TNA to a third party.

Source: PWInsider