Apex Digital Inc., a Walnut maker and distributor of inexpensive TVs, DVD players and other electronics products, on Tuesday said it filed for voluntary Chapter 11 bankruptcy.
The company, which has been in business since 1997 and was once based in Ontario, said its restructuring plan is aimed at modifying its business model to focus an existing “green energy” lighting products line.
“This restructuring plan allows Apex to grow its business in a new direction capitalizing on the increasing demand for green energy,” Chief Executive David Ji said in a statement. “This is an area where we have a proven track record and a number of new products under development.”
Ji gained international attention when during a business trip to China in 2004 he was taken hostage and turned over to civil authorities by employees of a supplier, Sichuan Changhong Electric, which had sued Apex over unpaid bills. Apex rebranded and sold low-cost Changhong televisions to Wal-Mart and other U.S. retailers. Ji was released after several months.
In 2006, Apex reached a $170 million final settlement with Sichuan Changhong, according to Reuters.
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