K-Tel Facing More Than 20 Lawsuits

K-Tel -- the record label best-known for mail-order oldies compilations -- is facing more

than 20 lawsuits over allegations it concealed a warning from Nasdaq that it faced a

de-listing from the stock exchange because of low net assets, according to the

Bloomberg news service. The Minneapolis-based company's stock shot up in

April when it announced it would sell music over the Internet. But it plunged 43 percent in

mid-November, after it was revealed that K-Tel's reported $450,000 in tangible assets

did not meet the required $4 million to be traded on the Nasdaq exchange. The suits

reportedly allege that K-Tel knew about the Nasdaq warning when it announced in early

November that it would link its online sales to websites run by software giant Microsoft

and Playboy Enterprises Inc.


Movie & TV Awards 2018