Coghill Capital Management, a major investor in Atari, has reacted angrily to the company's recent shake-up of the board of directors.
Infogrames has axed five Atari board members and replaced them with new faces, but CCM believes this latest move is just the culmination of recent poor treatment towards shareholders.
"Coghill Capital Management has contacted the Issuer's Board of Directors to express its serious concerns regarding the removal of the Issuer's five independent directors by Infogrames Entertainment,â said the company in a SEC filing.
"These actions were taken without cause, without notice and without a shareholders' meeting, and in our opinion is just the culmination in Infogrames' treatment of the Issuer as its private source of assets and funds, and its oppression of the public shareholders," it detailed.
CCM has issued Infogrames with a letter containing a list of demands.
"The Letter demands that the Issuer's Board of Directors immediately reconstitute itself with a majority of independent directors, re-establish an independent audit committee, put an end to the sweetheart agreements with Infogrames, and seek compensation from Infogrames and the Issuer's management for the serious damage they have caused both the Issuer and its public shareholders," states CCM.