Porn News

Penthouse Wins JKP Sweepstakes

WOODLAND HILLS, Calif. posted on www.xbiz.com: Outbidding Playboy, New Frontier Media and XGen LLC, Penthouse agreed to pay $1.765 million at a bankruptcy court auction for the major assets of Jill Kelly Productions.

With the acquisition, Penthouse may become a major player in the adult DVD arena. The company also announced earlier this year that it is building a 50,000-square-foot production studio in Glendale, Calif.

JKP’s assets included more than 200,000 burned and packaged DVDs as well as 65 unreleased masters, but there was some doubt about the value of the cache due to lingering 2257 concerns.

Philip Starr, who took over as CEO after the beleaguered company filed Chapter 11 bankruptcy, stood up in court and admitted that even he had no idea what the assets are worth.

Lawyers for Penthouse and Playboy asked for a continuance in an attempt to clarify the 2257 issues, but Judge Kathleen Thompson denied their motion, stating, “You’re going to buy what the debtor has.”

However, Aram Ordubegian, counsel for a group of unsecured creditors, told XBIZ, “It’s our [the unsecured creditors] understanding that all 2257 documents are all properly maintained.”

Penthouse also may have to strike a separate deal with Kelly because, although she forfeited any claim on the copyrights to the material sold at auction, she personally retains the trademark on her name.

Kelly told XBIZ that she already has had conversations with Penthouse.

JKP’s only secured creditor, XGen LLC, was offered the first opening bid at $725,000.

Aram Ordubegian, counsel for a group of unsecured creditors, had earlier told XBiz that he believed JKP’s assets far exceeded $725,000 and that he was hopeful other companies would outbid XGen, which is owned by Frank and Michael Koretsky, who also own International Video Distributors, Pleasure Productions and Whipsmart Toys.

While there is no guarantee that all of JKP’s unsecured creditors will be paid the money they are owed – XGen has roughly $500,000 in secured claims that must be paid before any of the other creditors get a dime – Ordubegian told XBIZ that the $1.765 million winning bid is “a spectacular outcome for the creditors.”

346 Views

Related Posts

Taboo Entertainment, StripPOV Announce 2024 Taboo Award Winners

Feb 12, 2025 4:44 PM PSTLAS VEGAS — Taboo Entertainment and StripPOV have announced the Taboo Award Winners for 2024."The highest honor of the Taboo Awards goes to none other than Luna Legend — the embodiment of seduction, talent and…

TadpoleXStudio Drops New Hardcore DVD, VOD Releases

Pro-am studio TadpoleXStudio has released two new titles, "Porn Convention: Gangbangs and Orgies Vol. 1" and "Tad Pole Fucks Pretty Babes! Vol. 4," now available on DVD and VOD.

Ray Ray’s Content Now Available on DVD From Pulse Distribution

Adult star Ray Ray has made her content available on DVD, after securing a deal with adult distributor Pulse Distribution.

SayUncle Names Giovanni as February’s ‘AllStar’

Feb 11, 2025 5:06 PM PSTLOS ANGELES — SayUncle Network has named Giovanni as its February AllStar, spotlighting him with Benji Jagger in "Giovanni’s Valentine Dick Down Debut." Jagger plays "a reserved young man looking to boost his confidence before…

Francesca Le, Mark Wood Debut ‘The LeWood Anal Hazing Crew 9’

Married AVN Hall-Of-Fame members Francesca Le and Mark Wood have released the fetish-themed "The LeWood Anal Hazing Crew #9," available now on VOD and DVD from Evil Angel.

Leave a Reply

Your email address will not be published.