SAN DIEGO, April 25, 1995 -- Medical
Device Technologies, Inc.
(Nasdaq: CYTP), formerly CytoProbe, announced today that on April 21, 1995, an
involuntary bankruptcy case was commenced against it by the filing of an
Involuntary Petition by Chandler Church & Company. Medical Device
Technologies, Inc. has not yet been served with the Petition, and no
determination has yet been made by the Bankruptcy Court.
Medical Device Technologies, Inc. intends to vigorously oppose the Petition,
and also intends to file a Motion to Dismiss in which it will seek sanctions
and attorneys fees against Chandler Church & Company on the grounds that it
does not qualify as a petitioning creditor and also on the basis that there is
existing litigation between the parties now pending in the Superior Court of
San Diego County, California as to the claimed indebtedness at issue. Medical
Device Technologies intends to interpose a Counterclaim against Chandler
Church & Company for in excess of $600,000 in this pending civil lawsuit.
CytoProbe's business is the development, manufacture and marketing of
specialty medical devices. The Company currently has three products under
development: the Personal Alarm System (PAS), a system for monitoring the
breakdown of infection barriers between patient and caregiver; the
Intracranial Pressure Measuring Unit (ICP), a non-invasive device for
determining cranial pressure using acoustic waves; and the Cell Recovery
System (CRS), a non-invasive system for cell recovery and diagnosis.
/CONTACT: Roland Freasier of Medical Device Technologies, 619-455-7127/