NEW YORK, Jan. 8, 2013 /PRNewswire/ -- The New York State Supreme Court held VisionChina Media, Inc. (Nasdaq: VISN) and its subsidiary, Vision Best Ltd., in contempt of court yesterday for their failure to abide by an earlier court order to transfer $60 million into New York State, or agree with Gobi Partners and Oak Investment Partners to an acceptable alternative arrangement, by August 21, 2012. The Court found that VisionChina acted in bad faith.
The Court ordered the $60 million transfer to ensure that funds are available to partially compensate Gobi and Oak should they prevail in their lawsuit against VisionChina relating to VisionChina's acquisition of a promising digital advertising company called Digital Media Group (DMG), previously owned by Gobi and Oak. Gobi and Oak allege in the lawsuit that VisionChina willfully disregarded its contractual obligation to pay Gobi and Oak for the acquisition.
Oak and Gobi plan to pursue additional damages in connection with VisionChina and Vision Best's breach of their agreements to purchase DMG. Oak and Gobi expect total damages to exceed $100 million.
More information about the case is available at www.savevisionchina.com.
About Oak Investment Partners Oak Investment Partners is a multi-stage venture capital firm based in the United States, with offices in Palo Alto, California, and Norwalk, Connecticut.
About Gobi Partners Founded in 2002, Gobi Partners is a venture capital firm with its headquarters and incubation center in Shanghai and additional offices in Beijing, Guangzhou, Hong Kong, and Tianjin, as well as an overseas office in Singapore.
SOURCE Oak Investment Partners and Gobi Partners