The Weinstein Company has a buyer as company considered bankruptcy

The Weinstein Company may have escaped possible bankruptcy, thanks to a group of investors, including businesswoman Maria Contreras-Sweet. The studio has been battling with sexual harassment suits against former CEO Harvey Weinstein.

The deal comes just days after the Weinstein Company were planning to file for bankruptcy. The original deal fell through after executives complained that the buyers were not living up to agreed upon terms.

Investor former part of President Obama's administration

Contreras-Sweet is best known as being the head of the Small Business Administration under the Obama administration. Part of her vision for the new studio is to save hundreds of jobs and protect companies that are due money. Most importantly, Sweet has said that they will establish a victims' compensation fund.

Contreras-Sweet released a public statement saying this deal is the best way to support victims and company employees. The investment group was originally working on a $500 million deal, but it was stopped by New York Attorney General Eric Schneiderman, after he filed suit against both Harvey and Bob Weinstein, alleging that Harvey assaulted employees and the company did nothing.

New York AG overseeing new deal

In conjunction with the new deal, Schneiderman promised he would ensure the deal would fulfill the agreed-upon terms and that the suit would continue until the deal is approved. According to Reuters, the compensation fund is expected to be between $80-90 million. The Harvey Weinstein Company was established in 2005 and became known for producing Oscar-worthy hits including "The King's Speech" and "Silver Linings Playbook."

As allegations began to surface against Harvey Weinstein, the corporate board fired him and Hollywood A-listers began to distance themselves away from him and the studio.

As part of the deal, the investors would inherit the company's $225 million debt. Schneiderman is still concerned with the new deal, saying that the deal is allowing some of the top executives who enabled Weinstein's rampant sexual abuse to remain with the company.

Contreras-Sweet said her company will be transparent with a strong governance. The new deal was reached at Schneiderman's Manhattan office. The deal also restructures the Human Resource department to serve the studio's employees. Most importantly, as part of the deal, the sale will not benefit either Harvey or Bob Weinstein.