Jill Kelly Productions has filed for Chapter 11 bankruptcy protection, new CEO Phillip Starr confirmed Monday.
In the past three months, the company has lost its former CEO, president, three contract girls and its publicist, among others, and it owes millions to secured and unsecured creditors.
JKP owes over $2 million to unsecured creditors and some $500,000 to the IRS, sources said, while over $10 million in investment money has been lost.
Former chief operating officer Dan Ice told AVN.com before leaving in July, “the company owes a variety of customers for the normal course of business.” Ice also said that a new group of investors had offered to back the company and with that had placed Starr in charge of day-to-day operations. Starr on Monday had no comment about the bankruptcy filing.
Former CEO Bob Friedland fled to New York, sources said, where he has not been heard from since. Former president Jill Kelly left the organization in June, and then the company’s final three contract girls, Jenna Haze, Tyra and Nikki Benz, separately announced their departures, followed by publicist Scott Hoover.
Shares of the company’s stock (JKXJ) were valued at $.04 as of noon.
Kelly, who started the company with Friedland close to five years ago, was not available for comment.
