Sci-Fi Thriller Scramble for Funding Lawsuit

In a lawsuit, the filmmakers claim they were promised $22 million but first were told they had to put up $300,000.
A planned $22 million sci-fi thriller has run into trouble, with producers of Lucidity alleging they were "scammed" by individuals who held themselves out to be film financiers.

According to the complaint, the plaintiff entered into an investment agreement last October whereby Preston Waters agreed to advance and guarantee the $22 million sum but conditioned it upon a $300,000 payment to Varicorp.

The $300,000 payment was made, but Varicorp is charged with having "failed to acquire the financial asset, set up the collateral and investment structure, or otherwise deliver on the funding for the Picture, within twenty-one banking days from the receipt of the Origination Fees as it was obligated to do under the Invoice."

The lawsuit says that in December 2011, the producers informed Varicorp of the default and demanded the $300,000 back. The producers say they never got it. Further, the lawsuit accuses Shepard of treating Varicorp's assets as his own and committing fraud, breach of contract and conversion.

Reached for further explanation of what's happening, Lucidity producer Bart Ruspoli says, "Preston Waters and Varicorp were in business together, and they turned out to be full of shit and they didn't have resources to finance the film."

Read More: http://www.hollywoodreporter.com/thr-esq/producers-sci-fi-thriller-scramble-390863