Regional news: North America
Miami court hears landmark US-Cayman comity dispute
A Florida district court has been urged to reject a US receiver’s distribution plan for investors in a collapsed Cayman feeder fund, in a case of “critical importance” for the international investor and cross-border insolvency communities.
11 July 2022
3AC liquidators seek emergency relief against “uncooperative” founders
The British Virgin Islands joint liquidators of crypto hedge fund Three Arrows Capital have sought emergency provisional relief in the US to protect its assets from its “uncooperative” founders, who are rumoured to have fled Singapore and to be selling property worth “tens of millions of dollars”.
11 July 2022
Asset manager brings New York fraud suit against crypto lender Celsius
A former investment manager for struggling crypto lender Celsius Network has accused it of leveraging customer deposits to manipulate markets and failing to institute basic accounting controls, causing it to freeze customer assets last month.
08 July 2022
Cerberus and Bayside lose bondholder battle in TPC bankruptcy
Two distressed investors have failed to convince a Delaware court that Texas-based chemical business TPC Group acted unlawfully when loan documents were amended to leave them sitting in a junior tranche of debt.
07 July 2022
“Confusion among insolvency practitioners” after Hong Kong scheme ruling
New York’s Judge Martin Glenn has revealed he disagrees with the analysis in a recent Hong Kong ruling over the ability of offshore jurisdictions to compromise US law-governed debt, but delayed a decision on whether to recognise Chinese property developer Modern Land’s Cayman scheme.
06 July 2022
Sidley hires new global leader from Kirkland
Stephen Hessler has joined Sidley Austin in New York as the new global leader of its restructuring group, after almost two decades at Kirkland & Ellis where he advised on the Frontier Communications and Windstream Holdings Chapter 11 cases.
06 July 2022
Kirkland advising as Voyager Digital journeys to New York for Ch11
Canadian cryptocurrency brokerage Voyager Digital and two of its US subsidiaries have filed for bankruptcy protection in New York, blaming its woes on the collapse of crypto hedge fund 3AC, one of its largest debtors.
06 July 2022
Nevada-based cannabis company continues out-of-court restructuring
A year after it restructured two sets of Canada-listed debentures, US cannabis producer Flower One has restructured its term debt and agreed to defer payments owed on an equipment lease to give it access to more liquidity.
05 July 2022
Weil and Kremer Levin partners appointed SDNY bankruptcy judges
Partners from Weil Gotshal & Manges and Kramer Levin, who between them have credits on the Chapter 11 restructurings of Washington Mutual bank, airbag maker Takata and drug manufacturer Mallinckrodt, will be appointed as bankruptcy judges in New York in the coming months.
04 July 2022
Three Arrows Capital’s BVI liquidators seek Chapter 15 recognition
The British Virgin Islands joint liquidators of cryptocurrency hedge fund Three Arrows Capital have sought recognition in New York to stop US litigation and preserve the fund’s assets, just three days after their appointments.
04 July 2022