Dozens of executive retirees earning more than $100,000 a year in retirement benefits sued General Motors claiming they suffered some unauthorized losses of their benefits after the automaker's bankruptcy. The pensioners, including former GM Vice President John G. Middlebrook, are asking a judge to rule that the company violated the federal Employee Retirement Income Security Act and [...]
American Apparel Inc. has once again announced that it is flirting with the idea of filing bankruptcy. "We are currently experiencing significant liquidity constraints," the company said in a regulatory filing yesterday. The chain said that if it can't improve performance or get alternative financing, it may file for bankruptcy. The company also posted a [...]
The bankruptcy case and eventual imprisonment of penny stock trader Robert E. Brennan is one which spans more than 15 years. The bankruptcy debtor was put in prison for nine years after hiding assets from the bankruptcy estate. And while the bankruptcy trustee scoured the globe trying to find the assets which belonged to the [...]
William M. Hawkins, III who founded the pioneering gaming company Electronic Arts (EA) has failed in his bid to have his taxes discharged in bankruptcy. In a stinging 16-page opinion this week, US. District Judge Jeffrey S. White upheld an earlier bankruptcy-court ruling, saying Hawkins (above right) knew he was insolvent after the Internal Revenue [...]
The Nomads, the oldest remaining travel club in the U.S. with its own aircraft, has filed Chapter 7 bankruptcy with $3,900,798 in assets and $3,917,944 in liabilities. The club had been cut off by its fuel supplier because of unpaid invoices. It also could not meet payroll or pay its obligations, according to a board [...]
U.S. Bankruptcy Judge Kevin J. Carey has begun examining the two competing bankruptcy reorganization plan for Tribune Co. which has become an all out war between pre-leveraged buyout creditor and post-leveraged buyout creditors. Disputes over the LBO (leveraged buyout) led by real-estate billionaire Sam Zell have pitted holders of about $2.5 billion in debt from [...]
Blockbuster's unsecured creditors are calling for the liquidation of the movie rental company in Chapter 7 bankruptcy after the company struck a deal with senior creditors which purportedly disenfranchises landlords and vendors. The current sale proposal is "designed for the exclusive benefit" of Blockbuster potential buyers and would result in "devastation" for unsecured creditors owed [...]
In a recent Chapter 13 bankruptcy case in Texas, the bankruptcy court ruled that a third-party lender claim can be treated as a tax claim. The bankruptcy court also ruled that the interest rate due on that tax claim could not be modified in Chapter 13 bankruptcy. It is now clear that when a federal, [...]
Former Bears safety Dave Duerson, who filed bankruptcy in September, recently committed suicide according to reports. Duerson reportedly faced $14.7 million in liabilities, according to the bankruptcy filings. He also claimed $34.6 million in assets, but that was almost exclusively from a judgment in a 2004 lawsuit by his company, Duerson Foods. The judgment still [...]
Companies associated with Kenneth Starr, the "celebrity" financial advisor who admitted to bilking his famous clients and other investors out of millions of dollars, filed for Chapter 7 bankruptcy liquidation. The bankruptcy filings by Starr Investment Advisors LLC and Starr & Co. come as Starr-who once counted Martin Scorsese and Wesley Snipes among his clients-awaits [...]