ROCHESTER, N.Y. (WROC) — Kodak didn’t break any laws according to lawyers the company hired to investigate whether the Rochester staple was unlawful, as the company announced a rebirth as a pharmaceutical manufacturer. The Federal Government withdrew a nearly $765-million loan, but will they get it back?
“On a preliminary basis this is good for Kodak because they have hired an independent law firm with findings that are positive for Kodak,” said Attorney Patricia Foster with Patricia C. Foster Esq., PLLC.
Foster breaks down the results of an investigation Kodak launched to explore whether or not the company broke any laws surrounding a $765-million Federal loan for a company transition into pharmaceutical manufacturing.
Financial experts say that report shows there was no insider trading by Kodak, but the company leadership needs to do better.
“It was like getting a report card that would say here’s how you could improve, we don’t see anything horrible but here’s what you could do to fine-tune that corporate compliance program,” Foster said.
“The chairman, he was plenty greedy and he wanted to make money and they were clumsy and their timing, but they weren’t breaking any rules,” said George Conboy with Brighton Securities.
Moving forward, legal and financial experts say whether or not the company will have a rebirth and offer hundreds of jobs depends on whether or not Kodak gets the loan back. The Federal Government is still investigating.