Well, here’s some failed gun news I actually like to hear. A gun company seeking to produce a smart gun has filed chapter 11 restructuring.
Armatix, makers of the ip1 smart gun, a gun that was pushed by communist gun-grabbing Democrats and the only gun that could be legally sold in New Jersey in 2014, under Governor Chris Christie, entered into “chapter 11-style restructuring proceedings in Germany” on May 20, 2015.
“This is a corporate restructuring, not an insolvency proceeding,” a spokesperson said in an emailed statement. “Armatix will continue operations and does not anticipate any changes to its majority shareholders.” The spokesman did not return calls seeking to discuss the situation further, nor did the company’s U.S. CEO Belinda Padilla or its chief shareholder Bernd Dietel, who is based in Switzerland.
The timing of the development was unfortunate for the company. Today Armatix was to have been a key presenter at the first of five smart gun technology fairs that a gun safety group had organized to familiarize local law enforcement officials with developments in the area. On Tuesday, however, Armatix informed Rabbi Joel Mosbacher, a co-chair of the group, that it would be unable to attend today’s fair at the New Rochelle (N.Y.) Police Department because the custodian appointed to oversee the company’s finances had refused to authorize travel expenses, according to Mosbacher. The fair will go forward with four other smart gun designers participating, Mosbacher says.
Armatix is a private company based in Unterföhring, Germany, near Munich. Its last publicly filed financial statement was for the 2012 year, and it appears to show €3 million in losses that year, on top of €11 million in losses for the previous year. (Armatix declined to comment on the figures, which were previously reported by Examiner.com.)