A joint press release from international developer KaosKontrol and French publisher Focus Home Interactive claims that a "winding-up order" has been obtained from the British High Court against troubled publisher Digital Jesters, meaning that this incarnation of the company is no longer allowed to continue trading.
As a result of the order, the two companies now intend to pursue further legal action against Digital Jesters directors Terry Malham and Leonardo Zullo. The companies also plan to demonstrate the alleged 'shadow directorship' of Rakesh Gandhi, as administrators investigate the transactions of the company and associated ventures such as Myriad Interactive, with the aim of recovering outstanding debts.
However, it is currently unclear how the winding-up order, which names only the company Digital Jester Distribution, will affect the differently named DJ Group, which was formed in November last year
and immediately courted controversy after claiming links with European publisher Monte Cristo which were subsequently denied.
After months of rumours of financial troubles, a number of companies began to sever ties with British publisher Digital Jesters last year, beginning with Bet On Soldier developer Kylotonn Entertainment
and Wild Earth developer Super X Studios
. At the same time KaosKontrol, which operates its DiezelPower Studios in France, Japan and the U.S., announced that Digital Jesters were in breach of contract and also terminated its publishing agreement with the company.