Well if company B orders product icp2 and companyA has problems with manufacturing, it is a breach of contract. This is not automaticly
illegal (embezzlement). Company B can initiat and
pay a law suit against company A. This costs some money. If company B wins, company A has to pay for the lawyer fees. If company A can't do it, all goods of company A will be sold to pay the costs and the selling money is given back to company B. If company A has not enough stuff to sell, company B has to pay its lawyer fees itself (which can be big in an international lawsuit between different continents).
So company B could loose lots of money and time and get nothing. When the stuff of company A is sold, thats it. The owner of company is not required to sell his personal property to pay the debt of his company A.
The only chance to force the owner of company A to sell his private property, is to win the law suit AND proof that the owner of company A did illegal stuff with the money. Like buying stuff for himself. This is very hard, especially in International law. "A journey to the USA? Of course, I needed to visit the factory of one supplier to verify that they are trustworthy.". "A 3D printer? Of course for prototypes of the case." "An electric car? Yes I needed it to travel to the several companies and talk about the keymats.". The car, 3d printer etc must be sold of course if its company property. Maybe a bit money can be made from it. But the travel expenses are gone.
If the owner of company A rented a small building for building prototypes, an office etc this could be expensive to over a year. And a wage for the CEO is allowed (in Germany you are even required to pay yourself a wage by law), so if Craig has Paid himself a Wage of 3000$ for one year, it is alone 36000$. When he paid 500$ for the rent its 6000$ again. So alone for the rent and wage there are 42K of 200K dollars lost. And I am afraid this is perfectly legal
.
