You will be redirected back to your article in seconds

Bergstein loses case in the U.K.

Capitol cannot transfer assets, judge says

Embattled film financier David Bergstein has sustained another loss in a bankruptcy hearing involving one of his companies, this time in the U.K.

Allied Irish Banks and Aramid Entertainment won their case Thursday against administrators of Bergstein’s now-defunct Capitol Films. The company had been put into administration — a British proceeding similar to a Chapter 11 bankruptcy — earlier this year.

As part of the ruling, administrators David Rubin and Henry Lan, who acted on behalf of the defunct production company, will likely be liable for costs associated with the court proceedingsin a loser-paying system that differs from the U.S.

The judge also ruled that Capitol’s assets could not be sold to another Bergstein-controlled entity, Pangea, which sources say would have made the creditors lose money they claimed Capitol still owed.

Aramid also won ownership to 2008 film “The Edge of Love,” which the company produced. “I also do not think that the manner in which the administrators sought to deal with the difficulties introduced by the Pangea assignment was appropriate,” Judge Richard Snowden wrote in his ruling, noting that the pair had not ascertained a fair value for Capitol’s assets before the proposed sale.

Capitol, a U.K. production and financing company, is the subsidiary of Capital Films Development — a Bergstein entity recently put into the bankruptcy in the U.S.

“I think we’re all grateful that the U.K. has a loser-pay system,” said Aramid chairman and co-founder David Molner. “And we had a terrific judge in this case.”

More Film

  • No Merchandising. Editorial Use Only. No

    'Black Panther' Powers Past $300 Million at International Box Office

    Embattled film financier David Bergstein has sustained another loss in a bankruptcy hearing involving one of his companies, this time in the U.K. Allied Irish Banks and Aramid Entertainment won their case Thursday against administrators of Bergstein’s now-defunct Capitol Films. The company had been put into administration — a British proceeding similar to a Chapter […]

  • AMERICA Land of the FreeKS

    Berlin Film Review: 'America: Land of the Freeks'

    Embattled film financier David Bergstein has sustained another loss in a bankruptcy hearing involving one of his companies, this time in the U.K. Allied Irish Banks and Aramid Entertainment won their case Thursday against administrators of Bergstein’s now-defunct Capitol Films. The company had been put into administration — a British proceeding similar to a Chapter […]

  • Shape of Water

    How ‘Game of Thrones’ Has an Emotional Connection to ‘Shape of Water’

    Embattled film financier David Bergstein has sustained another loss in a bankruptcy hearing involving one of his companies, this time in the U.K. Allied Irish Banks and Aramid Entertainment won their case Thursday against administrators of Bergstein’s now-defunct Capitol Films. The company had been put into administration — a British proceeding similar to a Chapter […]

  • Black Panther

    Box Office: 'Black Panther' Rules With $108 Million in Second Weekend

    Embattled film financier David Bergstein has sustained another loss in a bankruptcy hearing involving one of his companies, this time in the U.K. Allied Irish Banks and Aramid Entertainment won their case Thursday against administrators of Bergstein’s now-defunct Capitol Films. The company had been put into administration — a British proceeding similar to a Chapter […]

  • Guillermo del Toro To Open Cinema

    Guillermo del Toro to Open Cinema Named after Him at Guadalajara Fest (EXCLUSIVE)

    Embattled film financier David Bergstein has sustained another loss in a bankruptcy hearing involving one of his companies, this time in the U.K. Allied Irish Banks and Aramid Entertainment won their case Thursday against administrators of Bergstein’s now-defunct Capitol Films. The company had been put into administration — a British proceeding similar to a Chapter […]

  • 'Lemonade' Review: A Quietly Seething Romanian

    Berlin Film Review: 'Lemonade'

    Embattled film financier David Bergstein has sustained another loss in a bankruptcy hearing involving one of his companies, this time in the U.K. Allied Irish Banks and Aramid Entertainment won their case Thursday against administrators of Bergstein’s now-defunct Capitol Films. The company had been put into administration — a British proceeding similar to a Chapter […]

  • Cinema Audio Society 2018 Winners: 'Dunkirk,'

    'Dunkirk,' 'Game of Thrones' Win Cinema Audio Society Awards for Sound Mixing

    Embattled film financier David Bergstein has sustained another loss in a bankruptcy hearing involving one of his companies, this time in the U.K. Allied Irish Banks and Aramid Entertainment won their case Thursday against administrators of Bergstein’s now-defunct Capitol Films. The company had been put into administration — a British proceeding similar to a Chapter […]

More From Our Brands

Access exclusive content