International Heritage files for Chapter 7
Triangle Business Journal
International Heritage Inc., Raleigh, has closed its U.S. and Canadian operations and filed a Chapter 7 petition with the U.S. Bankruptcy Court for the Eastern District of North Carolina. Stan Van Etten, President and CEO, will assist the appointed bankruptcy trustee in the liquidation.
Formed in 1995, the multi-level marketing company went public in March and at one point had a stock market valuation topping $1 billion with annual sales volume topping $200 million. But IHI has come under increasingly heavy scrutiny from various state regulators and the Securities and Exchange Commission, which labeled the firm a "pyramid scheme."
In October IHI changed its style of operations from network marketing to direct marketing, but Van Etten said the pressures were too great to sustain the company. In a statement, he said, "It is a travesty of justice that although the Company was experiencing success in its regulatory battles, it was unable to survive the adversity and negative publicity outside the courtroom due to the nature of its business."
Latest News |
Most Viewed Stories |
Most Emailed Stories |
