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Almost a decade after the ill-fated deal that created chemical giant LyondellBasell Industries NV, creditors headed to court to try to recover billions of dollars that they say Len Blavatnik extracted before the company went bankrupt, Bloomberg News reported yesterday. At a trial that began yesterday in a Manhattan bankruptcy court, the creditors will seek to claw back more than $1.7 billion from Blavatnik, his firm Access Industries Holdings LLC and other affiliates. They’re also seeking about $2 billion more from Blavatnik and other executives for alleged mismanagement of LyondellBasell, which filed for bankruptcy in 2009. (It exited in 2010.) They say that money he extracted as a shareholder and through certain fees was improperly and intentionally transferred away from the financially precarious company, dooming it to failure. If the creditors can prove their case, U.S. bankruptcy law would let them recover the funds for redistribution. Read more. 

Pull back the curtain on advanced fraudulent transfers. Pick up ABI’s Advanced Fraudulent Transfers: A Litigation Guide to gain critical insight into the elements of advanced fraudulent transfer claims. 

A federal jury in Seattle has ordered Jessica Blixseth, estranged wife of former billionaire Timothy Blixseth, to hand over more than $9 million in assets her husband transferred to her in an attempt to avoid paying hundreds of millions of dollars in judgments against him stemming from the collapse of his Yellowstone Club real estate business, Forbes.com reported yesterday. The jury found Jessica Blixseth liable for accepting the transfer of private firms plus proceeds from the sale of Blixseth’s yachts, Piano Bar and Piano Bar Too, and a Citation jet into JTB LLC, a firm Jessica Blixseth controlled. Blixseth, who now goes by her maiden name Ferguson, was also found liable for transferring $600,000 to her mother, Cherrill B. Ferguson. Blixseth himself was hit with a $287 million final judgment by a Montana bankruptcy judge on Sept. 28. Read more. 

Pull back the curtain on advanced fraudulent transfers. Pick up ABI’s Advanced Fraudulent Transfers: A Litigation Guide to gain critical insight into the elements of advanced fraudulent transfer claims.