The troubled digital video and virtual reality company Ubiquity Inc. is on the brink of financial ruin.
The Securities and Exchange Commission and the Irvine-based company on July 25 agreed to “full relief” sought by the SEC — the delisting of the company’s stock on the OTC Markets after Ubiquity failed to provide adequate information on its financial standing.
Ubiquity has been under fire from its shareholders and regulators for deceptive practices. Its stock was suspended in March because of a “lack of current and accurate information about the company,” the SEC said at the time.
A meeting slated for April at which angry shareholders would have been allowed to testify did not happen after Ubiquity said it would become current in its SEC filings by June 30.
Ubiquity had not filed any required periodic reports since Sept. 30, 2015, until a filing March 31 — an 8-K notification. The company, according to the 8-K, was in default on $3.1 million in debt securities, had been named as a defendant in 16 lawsuits alleging more than $3 million in damages, and was the subject of $8 million in default judgments.
“There can be no assurance that all or any material portion of the company’s proposed restructuring plan will be accomplished on or about June 30, 2017, if at all,” the document said.
Rorick J. Frueh, who has nearly 13 million shares in the company, called for the removal of Ubiquity’s chief executive, Christopher Carmichael, his wife and senior executive Connie Jordan Carmichael and Chief Financial Officer Brendan Garrison.
“As a direct result of their so-called leadership, Carmichael, Jordan, and Garrison are rendering the shareholders’ investments nearly worthless. I demand the calling of a shareholders’ meeting immediately to protect shareholders’ interests,” Frueh, an…