Salary Paid for Poor Performance Is No Fraudulent Transfer
Conclusory allegation about insolvency doesn’t overcome a 10-K showing solvency.
Judge Name - Do not use it.
Sarah S. Vance
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Impending Circuit Split on ‘Makewholes’ Prompts Rehearing Motion by Energy Future
Energy Future claims Third Circuit panel misinterpreted governing New York law.
Judge Name - Do not use it.
Thomas L. Ambro
Third Circuit Splits with New York by Allowing Make-Whole Premiums in Chapter 11
Third Circuit says that New York bankruptcy court’s MPM decision was wrong.
Judge Name - Do not use it.
Thomas Ambro
Analysis: Puerto Rico Debt Fix Unlikely to Resemble Detroit's
The federal appointees tapped to help map Puerto Rico's economic future are technocrats more than political actors, and that could make the U.S. territory's fiscal turnaround look more like a corporate restructuring than a politically charged municipal bankruptcy in the vein of Detroit, according to a Reuters analysis yesterday. The law known as PROMESA, which created the board when it passed the U.S. Congress in June with bipartisan support, envisioned a pragmatic solution for an island combating $70 billion in debt, 45 percent poverty and a brain drain as residents bolt in droves for the mainland United States. Its members, four Republicans and three Democrats appointed last week, were chosen by Republican and Democratic lawmakers and President Barack Obama. The board has broad powers to help stabilize the island's economy, from investigating Puerto Rico's government to working with that government on projects to spur economic growth. The island has 18 separate debt issuers, backed by different revenue streams, as well as $18 billion in so-called general obligation debt backed by the "full faith and credit" of the territory's government. Holders of all that debt will jockey for payouts against government vendors and beneficiaries of the island's public pensions, which have less than $2 billion in assets to cover some $45 billion in liabilities. Read more.
For more news and analysis of Puerto Rico's debt crisis, be sure to visit ABI's "Puerto Rico in Distress" webpage.
Commentary: Banking Industry’s Rough Year Could Test Strength of Dodd-Frank Act
The banking industry is under pressure after lending billions to energy companies that are now grappling with falling oil prices and plummeting profits, according to a Washington Post commentary. It is Wall Street’s biggest challenge in years, according to the commentary, and a potential test of whether the Dodd-Frank Act reforms put in place after the 2008 financial crisis are strong enough to withstand new market pressure. Earlier this week, Neel Kashkari, who managed the $700 billion Troubled Asset Relief Program used to rescue banks during the crisis, piled on. “The biggest banks are still too big to fail and continue to pose a significant risk to our economy,” said Kashkari, who is now president of the Federal Reserve Bank of Minneapolis. Kashkari, a former Goldman Sachs banker, said the bank would issue proposals by the end of the year to prevent another financial crisis.
