ZimCal Responds to False Allegations From Medallion and Publishes Rebuttal

The following is a statement from ZimCal.

ZIMCAL PUBLISHES REBUTTAL DECK SHOWING UNTRUTHS AND INACCURACIES IN MEDALLION’S RECENT INVESTOR DECK.

ZIMCAL PUBLISHES ORIGINAL UNEDITED EMAILS TO MEDALLION FINANCIAL CORP. CLEARLY SHOWING ZIMCAL’S ATTEMPTS TO WORK TO IMPROVE MEDALLION AND ITS DESIRE TO REMAIN INVESTED.

All materials are posted at https://www.restoretheshine.com/materials/zimcal-mfin-emails

Medallion Financial Corp. (the “Company” or “MFIN”) has made several damaging false and defamatory accusations about the events that led to the proxy contest with ZimCal Asset Management, LLC, and its affiliates BIMIZCI Fund LLC, Warnke Investments LLC and Stephen Hodges (collectively “ZimCal”).

ZimCal sent MFIN a Cease and Desist letter on May 15, 2024. Given that MFIN and its President are under an SEC investigation for violations of securities laws including fraud and touting and the SEC alleges that MFIN’s President, Andrew Murstein lied on several occasions, including to his auditors, ZimCal has very little faith in MFIN’s ability to consistently tell the truth. ZimCal believes that MFIN will do whatever it can to maintain the status quo, which has enriched management at the expense of stockholders.

MFIN has accused ZimCal of not looking out for stockholder and stakeholder interests and engaging in a “greenmail” attempt to benefit ZimCal over stockholders. ZimCal has published the emails it sent to MFIN that show its concerns and objectives when it engaged with MFIN and believes that the evidence speaks for itself. ZimCal repeatedly stressed that it sought improvements in governance, leadership, and business strategy and when MFIN refused to commit to any changes, only then did ZimCal prepare for a proxy contest. Any requests for payoffs were initiated by MFIN, presumably to rid itself of ZimCal and its insistence on improved governance, and the email record reflects this. ZimCal repeatedly noted that its preferred outcome would be to remain invested in an improved MFIN and was open to any variation of the options it presented the Company. ZimCal demanded nothing except better governance, better leadership and a more valuable MFIN as the emails clearly show.