in the united states bankruptcy court for the … · chapter 11 case no. 15- 10635 (mfw) (jointly...
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IN THE UNITED STATES BANKRUPTCY COURT
FOR THE DISTRICT OF DELAWARE
In re:
KARMALOOP, INC., et al., 1
Debtors.
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Chapter 11
Case No. 15- 10635 (MFW)
(Jointly Administered)
Related D.I. 83
SUPPLEMENTAL DECLARATION OF BRIAN DAVIES IN SUPPORT OF THE
MOTION OF THE DEBTORS PURSUANT TO 11 U.S.C. §§ 105(a) AND 363(b)
TO (I) RETAIN CRS CAPSTONE PARTNERS, LLC TO PROVIDE THE DEBTORS A
CHIEF RESTRUCTURING OFFICER AND CERTAIN ADDITIONAL PERSONNEL,
AND (II) DESIGNATE BRIAN DAVIES AS DEBTORS’
CHIEF RESTRUCTURING OFFICER
I, Brian Davies, being duly sworn according to law, depose and state that:
1. I am a Managing Director of the firm of CRS Capstone Partners, LLC
(“Capstone”), with its principal offices located at 176 Federal Street, Boston, Massachusetts. I
submit this supplemental declaration in further support of the entry of an order authorizing (i) the
retention of Capstone to provide the above captioned debtors and debtors-in-possession (the
“Debtors”) a CRO, and (ii) the Debtors to designate me as CRO for the Debtors in these chapter
11 cases (the “Chapter 11 Cases”), pursuant to sections 105(a) and 363 of title 11 of the United
States Code, 11 U.S.C. §§ 101–1532 (as amended, the “Bankruptcy Code”) [Docket No. 83] (the
“Motion”). Except as otherwise noted, I have personal knowledge of the matters set forth herein.
2. In connection with the Motion, I caused Capstone and its staff to review its
existing list of clients to ensure that we held no interests adverse to those of the Debtors, using as
1 The Debtors and the last four digits of their respective federal taxpayer identification numbers are as
follows: Karmaloop, Inc. - 3934; KarmaloopTV, Inc. – 8230. The Debtors’ address is 334 Boylston Street,
Suite 500, Boston, MA 02116.
Case 15-10635-MFW Doc 177 Filed 04/30/15 Page 1 of 2
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guidance the requirements of the Bankruptcy Code, the Bankruptcy Rules, and the Del. Bankr. L.
Rules regarding the retention of estate professionals by debtors.
3. In connection with its proposed retention by the Debtors in these Bankruptcy
Cases, Capstone submitted the names of the individuals or entities identified on Exhibit A (the
“Parties-in-Interest”) attached hereto for review in the computerized conflict database system
maintained by Capstone. In addition to the computerized conflict check, each Capstone partner
reviewed the Parties-in-Interest list against their current and former client list for any potential
conflict. Through this conflict check process, Capstone has confirmed that it does not have any
prior or current representations of the Parties-in-Interest. On that basis, I believe Capstone and
myself to be “disinterested persons” within the meaning of Bankruptcy Code section 101(14).
4. Notwithstanding my efforts to identify and disclose all of my and Capstone’s
potential connections with any parties in interest in these Chapter 11 Cases, because the Debtors’
investors, customers, and operations are broad and multifaceted, I am unable to state with
certainty that every client relationship or other connection has been disclosed. In this regard, if I
discover additional material connections that require disclosure, I (or Capstone) will file a
supplemental disclosure with the Court.
Pursuant to 28 U.S.C. § 1746, I declare under penalty of perjury that the foregoing
is true and correct.
Executed on April 30, 2015 /s/ Brian Davies
Brian Davies, a Managing Director
CRS Capstone Partners, LLC
Case 15-10635-MFW Doc 177 Filed 04/30/15 Page 2 of 2
EXHIBIT A
Interested Parties
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 1 of 20
4
List of Schedules
Schedule Category
1(a) Current and Former Names of Debtors and Subsidiaries
1(b) Officers and Directors
1(c) Management to the Debtors
1(d) Debt Holders
1(e) Equity Holders
1(f) Insurance Providers, Brokers, Premium Financing
1(g) Banks and Credit Cards
1(h) Utilities
1(i) Landlord
1(j) United States Trustee and Judges for the Bankruptcy Court for the
District of Delaware
1(k) Top 50 Unsecured Creditors
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 2 of 20
1(a)1
SCHEDULE 1(a)
Debtors and Subsidiaries
Debtors:
Karmaloop, Inc.
Karmaloop TV, Inc.
Subsidiaries:
Amongst Friends and Family LLC
Orisue LLC
Streetammo (Europe)
Amongst Friends and Family LLC
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 3 of 20
1(b)1
SCHEDULE 1(b)
Officers and Directors of the Debtors
Greg Selkoe
Chris Mastrangelo
Dennis Selkoe
Jeff Lieberman
Brian Davies
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 4 of 20
1(c)1
SCHEDULE 1(c)
Management of the Debtors
Mark Urban
Maciej Karpierz
Yaw Owusu
Gary Rush
Leandrew Robinson
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 5 of 20
1(e)1
SCHEDULE 1(d)
Debt Holders
A1, LLC
Alan B Ross T’tee
Alston Investments LLC
Anderson Investments LLC
Andrew Novelline
Anthony Gary Chinn 2701 9th Ave Oak
Barrett Family Trust
Blacksmith Pte
Blues Brothers Finca LLC
Brannassets LLC
Bruce J Nichols
Bruce Lindsay
Capx Partners
Carl Bindman
Chen Jianwen
Cherrywood Enterprises LLC
Chris Mastrangelo
Christopher Gabrieli
Christy Almeida
Comvest Capital II, L.P.
Cyrus Dilmaghani
D.A. Wallach
David Russell
Dennis Selkoe
Derek Fluker
Don C Johnston And Judith A Johnston
Eastward Capital Partners
Edward Cosgrove
Elliott Pollack
Eric Lesatz
Eugene L Goodwin
First Pinkston Limited Partnership
Gary A Gillmore Trust U/A/D 9/2/201
Gg Investment
Globid Inc(Pathway)
Gordon Lofquist Jr (Jtwros Cary G Lofquist)
Greg Selkoe
Gregory Tatsch
Heng-Keong Chan
Hfio LLC
Insight Venture Partners (Cayman) VI, L.P.
Insight Venture Partners VI (Co-Investors), L.P.
Insight Venture Partners VI, L.P.
Itsec Limited
Jacqueline Mastrangelo
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 6 of 20
1(e)2
James Ryan
James Thorsen
Jason Shank
Jean Pelissero
Jennifer Lum
Jinkyu Hong
Jklm Management Corp.
John C Jackson
John Delavan
Joxn Hickory, Ltd(Porter)
Karen Chandor
Katie Mcenroe
Kenneth Bucher
Kevin Leary
Korthi And Kohilou Andriotes LLC
Laird S Holliday Family Trust Utd 1/1/82
Lexial LLC
Linda Layton
Loh Cher Zoong
Man Advisors Inc
Mandeep S Dhillon
Manuel Charles Guyot
Mary Ellen Hinkel
Masano Murata
Michael J Petruschak Jr
Michael Ruhoy
Michael Taras
Mojo Global Enterprises LLC
Ms2 Partners LLC
Overdrive
Patrick Gervais
Philomelus Ventures
Ralph Martin
Reed Investments
Rgb Financial Services
Richard Morrissey(Nancy Noonan)
Robert Lederer
Robert Stein
Samuel Gunton Lofquist
Silicon Valley Bank
Sonar Group
Sprio Michas
Stephen Boyd
Steven C Thompson
Stuart Cohen
Terence Teruya
Terry K Leppla
The Rose Trust
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 7 of 20
1(e)3
Timothy L Stang
Valerie Mosley
Vcare Investments, Inc.
Vcare Technology Inc.
Venkata Maddineni(N and N)
Voytek Wieckowski (Wojciech)
Will C. Wohler
William Houston Reed
William Hsu
William Karol
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 8 of 20
1(e)1
SCHEDULE 1(e)
Equity Holders
Comvest
Capx
Insight Venture Partners (Various Entities)
Adam Frieman
Aleutian Capital Partners, LLC
Alex, James
Andrew Novaline
Berstein, Robert
Bindman, Carl
Black, Louis
Blum, Katya
Blum, Paula
Blum, Steven
Brown, Naim
Celeste Jr., Frank A.
Chandor, Karen
Chiu, Giovannah
Chris Mastrangelo
Christopher Mastrangelo, as Trustee of the Mastrangelo Family 2008 Nominee Trust
U/D/T 12/15/2008
Cleverventures Learning Fund No. 1, LLC
Cohen, Doug
Cohen, Stuart
Daniels, Marc
Dawson Family
Delavan, John
Dina G. Selkoe as Trustee of the Dina G. Selkoe Trust Dated 9/22/08
Dina Selkoe And Dennis Selkoe, as Trustees of the Selkoe 2009 Irrevocable Trust
Dated 2/24/09
Eddins, Will
Elkiner, Serge
Elowitz, William
Estey, Evelyn
Estey, Frank Family Trust
Family Trust Under Article 4th
of the Samuel J Gerson Trust 2002
Finegold, Barry
Frank Messman Trust
Frantzis, Stavros
Fubini, Ross
Galatis, Mike
Gary Rush
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 9 of 20
1(e)2
Gg Investment Partnership
Ginsberg, Garry
Greg Selkoe
Haber, Seth
Haney, Alexander
Holland Smith
Hollywood Hills
Jl Partners, Lp
Kaplan, William
Kapor, Mitchell D. Trust
Keith Sherman
Kl Partners, Lp
Lasalandra, Michael
Lavoie, Chris
Leandrew Robinson
Leary, Kevin
Lederer Jr., Robert B.
Lederer, Jeffrey
Lunt, Sara
Madaus, Patrick
Mark Urban Holdings Aps
Masano Murata
Mastrangelo, Jacqueline
Michael Rheault
Mikol Stambaugh
Miller, Dan
Mooney, Brian
Mosley, Val
Natasha Chu
Nelson, Arthur
Nowers, Scott
Palmer, Bethe M (Officer)
Peralta, Mel
Pollack, Elliott
Rgb Financial
Roger Sherman
Ross M Abrams Family Trust
Rush, Richard & Kathleen
Salter Richard
Scalese, Nick
Selkoe, Dennis
Selkoe, Kimberly A.
Selkoe, Polly
Sembhi, Tripp
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 10 of 20
1(e)3
Shah, Anand
Sneider, Allen
Sokol-Margolis, Samuel
Stein, Robert
Stephen Giulietti
Talakokkula, Sreehar
Tien, Jenny
Todisco, Dennis
Wallace, Garry
Walsh, Timothy J
Waltraud Johnson Trust
Warner, William
William Karol
Wolf, Chelsea
Yackel, Ryan
Abigail Jansen-Lonnquist
Aisha Moussalli
Alex Haney
Anand Shah
Andrew Bishop
Andrew Fercu
Bounthay Khammanyvong
Bruce Lindsay
Chase Whitaker
Christos Tsatsopoulos
Damilare Oladosu
Daniel Wray
David Gentry
Eastward
Eric “Seven” Cohen
Ekom Ekwere
Fabiano Amorm
Feng Chang
Frank Rivera
Gabe Freedman
Garun Vagidov
Heather White
Isaiah Bond
Jackie Munoz
Jessica Walshaw
Joseph Farese
Julian Wadsworth
Keith Miller
Kostas Klokelis
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 11 of 20
1(e)4
Lauren Alba
Lisa Mex
Maciej Karpiez
Mahfuzer “Shomi” Patwary
Meera Hyun
Megan Knisely
Melissa Famiglietti
Michael Damico
Michael Laughlin
Phillip Wong
Renatta Hosein
Reserved And Available For Future Grants
Reynold Mcguire
Richard Ouellette
Robert R. Price
Sameer Naseem
Sergey Styskin
Sovandara Phat
Sreedhar Talakakkula
Tariq Hug
William Fischer
Uta
William Karol Family Trust
Yaw Owusu
Stavros Socrates Frantzis Revocable Trust — 2013
Stvros Socrates Frantzis
Insight Venture Partners Vi (Cayman), L.P.
Insight Venture Partners Vi (Co-Investors), L.P.
Mark Gilbert
Stephen Giuleietti
Andrew Novaliine
Bethe M. Palmer
Catherine Sui
Michale B. Ryan
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 12 of 20
1(f)1
SCHEDULE 1(f)
Insurance Providers, Brokers, Premium Financing
Lockton Insurance
US Premium Financing
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 13 of 20
1(g)1
SCHEDULE 1(g)
Banks and Credit Cards
People's United Bank
PayPal
American Express
Bank of America
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 14 of 20
1(h)1
SCHEDULE 1(h)
Utilities
Nstar
Eversource
Waste Management Of Massachusetts
AT & T
Comcast
J2 *Efax Plus Service
Paetec Communications, Inc.
Towerstream Corporation
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 15 of 20
1(i)1
SCHEDULE 1(i)
Landlord
The Druker Company, LP
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 16 of 20
1(k)1
SCHEDULE 1(j)
United States Trustee and Judges for the District of Delaware
Office of the U.S. Trustee – Wilmington, Delaware Office Attorneys
Andy Vara
Patrick Tinker
David Buchbinder
Benjamin Hackman
Mark Kenney
David Klauder
Jane Leamy
Tiiara Patton
Juliet Sarkessian
Richard Schepacarter
Lauren Attix
Linda Casey
Shakima L. Dortch
Timothy L. Fox, Jr.
Diana Giordano
Christine Green
Jeffrey Heck
Hannah M. McCollum
Tony Murray
James R. O’Malley
Michael Panacio
Edith A. Serrano
Karen Starr
Ramona
Vinson
Michael West
Dion Wynn
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 17 of 20
1(k)2
U.S. Bankruptcy Court, District of Delaware Judges
Kevin J. Carey
Kevin Gross
Laurie Selber Silverstein
Brendan L. Shannon
Christopher S. Sontchi
Mary F. Walrath
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 18 of 20
SCHEDULE 1(k)
Top 50 Unsecured Creditors
GSI Commerce
Navigo Consulting Group
Google Inc.
Jakprints Inc
Optaros
Huf Inc.
Hybris Software
Dhl Express Inc. - 852958043
Ebay Enterprise Marketing Solutions, Inc.
Mitchell & Ness-Sports Licensed Division
10.Deep
Dhl Global Mail
Adobe Systems Incorporated
Tranzact
Akamai Technologies, Inc
Tellapart
1point
Cheap Monday - The News Inc.
LRG
Vans
Rapid Value Solutions
Bellfield - Stylewise (Uk) Ltd.
Media Forum, Inc
Sharpe Advisors LLC
Yahoo Inc.
Dna Distribution
Linkshare Corporation
Demandware
Rackspace Hosting
Retail Decisions Inc.
Black Scale
Reflex Sales Group
Mybuys, Inc.
Flud Watches
Ups - 60545x New Kazbah Acct.
Manhattan Associates
Cquotient
Matix Clothing Co.
Sabit/ Twelve Ounce
Steel House, Inc.
Ruberto, Israel & Weiner
Fiksu, Inc
Patagonia
Asphalt Yacht Club LLC
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 19 of 20
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Urban Airship
Affilinet - Nonstop Consulting
Hypebeast
The Druker Company, Ltd
Dope Couture
Neff Inc.
WCSR 34111213v1 WCSR 33818836v3
Case 15-10635-MFW Doc 177-1 Filed 04/30/15 Page 20 of 20