Brooke Capital Officer Resigns
September 17 2008 - 5:04PM
Marketwired
Robert Orr has resigned as an officer of Brooke Capital Corporation
(AMEX: BCP) to focus exclusively on litigation related to the
collection of past due servicing fees from securitization
investors. Mike Hess, president; Nick Rhodes, executive vice
president; and Travis Vrbas, chief financial officer, will each
assume some of Orr's responsibilities.
"Personal animosity between securitization investors and me
resulted from my efforts to collect past due servicing fees on
behalf of Brooke Capital," Orr stated. "To help prevent our
squabbling from affecting Brooke Capital's business, I have
resigned as an officer although I remain a director and the largest
shareholder."
Orr also stated that he was pleased with the court appointment
of Albert Riederer as special master so the parties "stand still"
until Brooke Capital's differences with securitization investors
are resolved. Additionally, the special master has been directed to
assist with resolution of the servicing fees issue.
"During the last year or so, the Orr family has loaned Brooke
Capital and Brooke Corporation more than $15,000,000, much of which
was ultimately used to provide services to troubled borrowers on
behalf of securitization investors," Orr continued. "The result is
that I have personally been subsidizing securitization investors
for quite some time because of their reluctance to pay servicing
fees."
Orr noted, "Last year I resigned from my executive positions
with the company, but came back to work full time when the company
ran into difficulties earlier in the year. In this respect, it will
be good to have more discretionary time by no longer being an
executive officer."
About Brooke Capital Corporation
Brooke Capital Corporation (AMEX: BCP) is a Phillipsburg,
Kansas-based insurance agency franchisor and consultant.
This press release contains forward-looking statements. All
forward-looking statements involve risks and uncertainties, and
several factors could cause actual results to differ materially
from those in the forward-looking statements. The following
factors, among others, could cause actual results to differ from
those indicated in the forward-looking statements: the uncertainty
that the Company will accomplish its objectives in the litigation
with Bank of New York Mellon, the availability of funding sources,
the exposure to market risks, changes in the law and in economic,
political and regulatory environments, changes in management, the
effectiveness of internal controls, and risks and factors described
from time to time in reports and registration statements filed by
the Company with the Securities and Exchange Commission. A more
complete description of the Company's business is provided in the
Company's reports and registration statements, which are available
from the Company without charge at www.brookeagent.com or at
www.sec.gov.
Contact: Lisa Mussman 785-543-3199 ext. 561 Email Contact
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