STRATEGIC PARTNERS
March 6, 2002
OCEANSIDE, Calif. -- Greenland Corporation(OTC Bulletin Board: GLCP) is in the midst of a dispute with Seren Systems regarding ownership of the software technology needed to operate its advanced-function ATMs, according to Greenland CEO Louis Montulli.
Montulli said that Seren Systems has refused to deliver the software which has been paid for by Greenland. As a result, Montulli added, Greenland Corporation will be unable to fulfill its obligation with respect to certain other purchase orders and/or contracts.
Greenland Corporation has filed a Complaint for Declaratory Relief and for a provisional remedy of injunctive relief. Thomas Beener, general counsel to Greenland, indicated that due to the extreme damage caused by the refusal to provide software, Greenland Corporation has sought immediate legal action to stop the actions of Seren Systems.
Greenland CFO Ken Hoitt said that Greenland Corporation's inability to meet its contractual commitments will have an adverse impact on its cash position. As a consequence, it is likely that the company will need to reduce staffing and restructure certain aspects of its operations. The company will continue to support its machines now in the field during this period, Hoitt said.
The Board of Directors will meet to review a plan for the company's near-term operation until there has been a resolution of legal matters.
