Engagement
An international law firm engaged Gryphon to determine why a privately held U.S. company had not timely remitted payment to a creditor in China. Gryphon conducted a targeted asset investigation and an assessment of the U.S. company’s financial condition.
Investigation
Our investigation uncovered information projecting the subject company’s income to be $50 million over a five-year period, which signified that the subject company had ample assets to pay its Chinese creditor. The investigation did however uncover issues pertaining to the company’s outlook, as the subject company derived a significant portion of its revenue from a federal program that was being revaluated by Congress.
Result
The results of this investigation informed our client’s decision to initiate litigation immediately, given the uncertainty of the subject company’s financial outlook.
