Update: Online Casino & Poker Room Purple Lounge Liquidation

Published Friday, June 01, 2012 - Online-Casinos.com

In the online gambling industry just as in any other industry businesses sometimes fail and people who have invested lose their money. Businesses on the web are subject to the same rules and regulations as land based businesses and should follow the rules to avoid the usual pitfalls.

The Purple Lounge and parent firm Media Corp is an example of a company that will lose its reputation and its investors if it doesn’t become more transparent with those who were at one time loyal customers. After weeks of silence on behalf of the company, which has been ignoring player and media attempts to obtain any communication or information regarding the funds owed by the company it is no wonder that the share price of Media Corp has hit an all time low.

The latest news from Media Corp’s new executive management team at Media Corp, Adam Fraser-Harris and Phil Jackson have issued a statement, informing the public that they are filing for the liquidation of Purple Lounge. It hopes of avoiding the stock slide into oblivion Fraser-Harris and Jackson stated, "The Board regrets any corporate failings in the past and seeks to assure shareholders that it is exploring routes to try, in some way, to mitigate the expected player losses..." Not to be placated by the statement from the new Heads account holders are seeking legal council and will attempt to get back their funds through the courts. The statement from Media Corp goes on to explain their dilemma with a new members on the board taking the wait and see approach. "It has become clear during the review that the financial and trading position of the Purple Lounge division is no longer tenable due to historic operational and financial failings within the business.” "The Board will specifically request that the appointed liquidators look into the financial arrangements within the Purple Lounge group of companies and to review the position as to player funds.”

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