 | | Featured Premium Content | | | | | BankruptcyData: FY24 Advisory/Group Member Activity Report
Read an exclusive analysis from BankruptcyData providing an overview of top bankruptcy firms, financial advisors, investment bankers and more in their FY24 Advisory Group Member Activity Report. Click here to access the report. (Free registration.) | | | | | SPONSORED CONTENTPrivate Credit and BSL: Peaceful CoexistenceAs private credit continues to expand, it maintains a relatively peaceful coexistence with broadly syndicated loans. SRS Acquiom offers insights into the current state of the lending landscape, as anchored by two viable sources of financing. GET THE INSIGHTS | | |  | | Editor's Picks | | | | | Satellite Company Ligado Faces Opposition over Bankruptcy Loan Fees
Satellite communications company Ligado Networks is trying to finance its bankruptcy with a high-fee loan that would eat up $100 million that could otherwise be used to repay creditors, according to an objection filed by fellow satellite company Inmarsat, Reuters reported. Inmarsat said in a Wednesday court filing in Delaware that the company's existing lenders are only providing $115 million in new money to Ligado, while the rest of the bankruptcy loan merely refinances its existing debts. The loan adds nearly $100 million in new fees, almost entirely “eating up” the new money and reducing the chance that Ligado’s other creditors, including Inmarsat, will be paid, according to the objection. READ MORE | | Northvolt Lawyers Threaten to Sue Some Creditors
Northvolt AB’s appointed bankruptcy lawyers in the U.S. have sent a letter to creditors in Sweden threatening legal action if they don’t return to the company funds seized by the country’s Enforcement Authority, according to Bloomberg News reported. The steps to recover claims “violate United States federal law and an order from the US Bankruptcy court,” Christopher T. Greco, a lawyer for Kirkland & Ellis LLP, wrote in the letter seen by newspaper Dagens Industri. READ MORE | | Prospect Medical Bankruptcy May Threaten the Future of Two Rhode Island Hospitals
California-based healthcare company Prospect Medical Holdings filed for bankruptcy earlier this month, raising uncertainty about the future of its two Rhode Island hospitals, the Brown Daily Herald reported. According to a court filing, Prospect attributed their financial struggles to the lingering effects of the COVID-19 pandemic, a rise in inflation and an August 2023 ransomware attack that compromised sensitive data. Prospect is the parent company of CharterCARE Health Partners, a care network that operates the Roger Williams Medical Center in Providence and Our Lady of Fatima Hospital in North Providence. The healthcare company has been attempting to sell both its hospitals since 2021. READ MORE
MORE NEWS BELOW | | |  | | Upcoming Events | | | | | Alexander L. Paskay Memorial Bankruptcy Seminar Tampa Marriott Water Street
February 27-28 | Tampa, Fla. | | 33rd Annual Duberstein Bankruptcy Moot Court Awards GalaNew York Marriott Downtown
March 3 | New York | | | | |  | | Daily Roundup | | | | | North Carolina Barbecue Restaurant Closes, Files for Bankruptcy
Dickey's Barbecue Pit in Cary, N.C., closed and filed for bankruptcy as the restaurant lost $132,000 in revenue between 2023 and 2024, the Triangle Business Journal reported. Lack of foot traffic at Parkside Town Commons caused closure, attorney says. The restaurant closed in December and filed for chapter 7 bankruptcy liquidation. The franchise business had $347,917 in total liabilities and $47,633 in assets, according to bankruptcy documents. (Subscription required.) READ MORE | | SEC Case over Massive Allen Stanford Fraud Ends, Judge Orders Fines
A federal judge ordered an end to the U.S. Securities and Exchange Commission's 16-year-old lawsuit over Allen Stanford's $7.2 billion Ponzi scheme, directing the financier and two former colleagues to pay sums that will go largely uncollected, Reuters reported. In a decision on Wednesday, Chief Judge David Godbey of the Dallas federal court imposed a $5.9 billion civil fine on Stanford, who is serving a 110-year prison sentence after being convicted in 2012 of defrauding about 18,000 investors. READ MORE | | CFPB Orders Wise to Pay $2.5 Million for Illegal Remittance Practices
The Consumer Financial Protection Bureau (CFPB) yesterday ordered the international remittance company Wise to pay nearly $2.5 million for a series of illegal actions, including advertising inaccurate fees and failing to properly disclose exchange rates and other costs, according to a CFPB press release. Wise allows customers to send, receive, and store remittances through a mobile app and prepaid accounts and debit cards. The CFPB found the company misled customers in the United States about its ATM fees and failed to properly disclose other fees. READ MORE | | Preliminary-Round Judges Needed for the Duberstein National Bankruptcy Moot Court Competition!
The Duberstein National Bankruptcy Moot Court Competition, now in its 33rd year and widely recognized as one of the nation’s preeminent moot court competitions, will be held in New York March 1-3, 2025. Fifty-three teams from law schools across the country will compete through written briefings and oral argument. Please find the fact pattern by clicking here. Volunteers are needed to judge the preliminary rounds (sign up here) of the competition. Click here for more information and to volunteer. | | | | |
