Lawyers for Celsius investors file motion to have interests represented in court

An international law firm representing groups of Celsius investors has filed a motion to appoint a committee to represent their interests in the crypto lending firm’s bankruptcy case.

In a Thursday filing with the U.S. Bankruptcy Court in the Southern District of New York, lawyers with the law firm Milbank requested the appointment of an “Official Preferred Equity Committee” to represent certain Celsius shareholders. According to the filing, the equity holders “urgently require their own fiduciary” for representation in court alongside Celsius debtors and an Unsecured Creditors Committee, or UCC.

“The need for a fiduciary to pursue the Equity Holders’ interests is particularly critical when one considers the practical realities of these cases: There are only two groups of real economic stakeholders — the retail customers and the Equity Holders,” said the court filing. “Not only is the UCC laser focused on maximizing value for the customers, without regard for the Equity Holders, but the Debtors also have made it abundantly clear that the UCC is their partner, and these cases are ‘all about the customer.’”

The legal team added:

“An estate fiduciary is needed to take the other side of this dispute before a plan of reorganization is

… Read the rest
September 25, 2022 by ATTORNEY

Executive bonuses at opioid firm Endo were ‘excessive’ and ‘secret’ before bankruptcy, state AGs say

Seven state attorneys general and a court-appointed bankruptcy federal watchdog are opposing up to $94 million in pre-bankruptcy bonuses paid to top executives and other insiders at opioid drug firm Endo International in Chester County, court documents show.

The bonuses to the highest executives were doled out in “secret” and drain financial resources of the money-losing Endo available for victims of the Malvern company’s addictive pills, according to state attorneys general who filed their objections as a committee on Wednesday in New York.

Pennsylvania Attorney General Josh Shapiro is one of the seven whose court filing called the top executive pre-bankruptcy bonuses “excessive.”

Endo, facing mounds of litigation over its alleged role in the national opioid crisis, filed for bankruptcy protection on Aug. 16. The Inquirer first reported on the bonuses days later.

U.S. Trustee William Harrington, the watchdog, said in a separate court filing earlier this month that Endo paid $94 million in bonuses to top executives and other insiders in the months prior to the bankruptcy filing, while Endo’s restructuring plan leaves only $27.4 million initially for individual opioid victims who are not state entities.

Endo has “provided virtually no information, much less sufficient information” to evaluate the

… Read the rest
September 24, 2022 by ATTORNEY

Brown Rudnick EU bankruptcy leader jumps to Squire in five-lawyer London move

Signage is seen outside of the law firm Squire Patton Boggs in Washington, D.C., U.S., August 30, 2020. REUTERS/Andrew Kelly

Register now for FREE unlimited access to Reuters.com

(Reuters) – Squire Patton Boggs said Tuesday that it has hired a five-member bankruptcy team from Brown Rudnick in London that includes the firm’s European restructuring practice leader, Charlotte Møller.

The hires come as Squire Patton Boggs anticipates an increase in restructuring work amid “higher levels of stress across many industries,” its global restructuring and insolvency practice chair Stephen Lerner said in a statement.

This is at least the third group hire this year for Squire Patton Boggs in Europe, including the additions of a four-attorney white collar team and a six-member data privacy team.

Register now for FREE unlimited access to Reuters.com

Møller advises on domestic and cross-border restructurings primarily in the shipping, airline, energy and natural resources industries, according to an archived Brown Rudnick bio.

She also represents clients on the enforcement of security over UK assets, particularly in the sale and purchase of non-performing loan portfolios, Squire Patton Boggs said.

Møller is joined in London by partner Monika Lorenzo-Perez, director Helena Clarke and senior associates Rebecca Terrace

… Read the rest
September 21, 2022 by ATTORNEY

Troubled Fones Cliffs property listed for bankruptcy sale

Nearly 1,000 acres of land at Virginia’s famous Fones Cliffs on the Rappahannock River will be put up for auction at a bankruptcy sale.

A listing by New York-based Auction Advisors puts the minimum bid for the property as $4.25 million in an auction to be held Nov. 3.  

The 977-acre undeveloped property, which is currently owned by Virginia True Corporation, has been embroiled in difficulties since 2017, when the company purchased the property for $12 million from long-time owners the Diatomite Corporation of America. 

Virginia True planned to develop a luxury golf course and resort on the property. In November 2017, however, Richmond County ordered the company to stop work after it cleared more than 13 acres of forested land near the cliffs without a permit. A lack of required stormwater controls at the site led to extensive erosion and landslides.

Virginia’s Department of Environmental Quality subsequently issued three notices of violation to Virginia True, and the lawsuit was later referred to the Office of the Attorney General. 

A document filed in bankruptcy court this August lists the company owing the state $200,000 related to “governmental enforcement action.” 

A four-mile stretch of striking white cliffs on the

… Read the rest
September 18, 2022 by ATTORNEY
January 2025
M T W T F S S
 12345
6789101112
13141516171819
20212223242526
2728293031