The company behind disgraced media mogul Harvey Weinstein has plans to file for bankruptcy, according to several reports.
The Weinstein Company was reportedly in talks to sell for $500m, however these have since collapsed.
The LA Times, and several other US outlets, published the following statement: “The Weinstein Company has been engaged in an active sale process in the hopes of preserving assets and jobs… those discussions concluded without a signed agreement.”
The statement continued: “While we recognize that this is an extremely unfortunate outcome for our employees, our creditors and any victims, the Board has no choice but to pursue the only viable option to maximize the company's remaining value: an orderly bankruptcy process.”
The company pushed out global hits such as The King’s Speech, The Artist and Silver Linings Playbook – however, after their eponymous leader’s fall from grace the production business felt the hit.
New York’s attorney general, Eric Schneiderman, sued the Weinstein Company and Harvey Weinstein himself, alleging years of sexual harassment and misconduct – which could have impacted the potential sale of the business.
Reuters reports that the suit alleges the company’s executives failed to protect employees from Weinstein and seeks damages for the harm to victims.
"Any sale of The Weinstein Company must ensure that victims will be compensated, employees will be protected going forward, and that neither perpetrators nor enablers will be unjustly enriched," Schneiderman said in a statement.