Riverstone Networks holders say exec is blocking probes

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Riverstone Networks holders say exec is blocking probes
2006-08-20
WILMINGTON, Del. (Dow Jones/AP) -- Lawyers for Riverstone Networks Inc. shareholders say the executive in charge of the bankrupt company's remains is obstructing probes of potential wrongdoing at the top of the company. The official representatives of shareholders in the liquidated telecommunication-equipment maker's Chapter 11 case have alleged that Noah Mesel, Riverstone Networks' former general counsel, destroyed evidence. On Friday, Mesel said he had no comment on the allegations, which come as shareholders wait to see how much they'll recover from the bankruptcy. The operating assets of Riverstone Networks, which was based in Santa Clara, Calif., were sold to Lucent Technologies Inc. in a $207 million deal that closed in April. The money went into a shell dubbed RNI Wind Down Corp., which is still sorting out the company's affairs in a Delaware bankruptcy court.
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