Bank moves to oust Dippin' Dots CEO

AP News
Posted: Feb 28, 2012 10:49 AM
Bank moves to oust Dippin' Dots CEO

Novelty ice cream maker Dippin' Dots wants a federal bankruptcy judge to approve a $2 million line of credit to keep the company running.

The move comes as Regions Bank, which has been the main source of operating cash for Dippin' Dots, refused to loan it any more money unless a judge appoints a neutral third-party trustee to run the company instead of CEO Curt Jones.

Jones, in a filing Tuesday, said Fischer Ventures, L.L.C. of Edmond, Okla., has offered to finance the company provided it gets first priority on any money Dippin' Dots makes until the loan is paid off.

Dippin' Dots filed for court protection in November as it sought to reorganize debts rather than face foreclosure on more than $11 million in loans.