Bankruptcy Blogs

Terror Attacks, Panama Papers Show Cracks in Post-9/11 Monitoring

05/05/16

Requirements that banks share anti-money-laundering information should extend to fraud and cyber risks, to connect the dots between bad actors and their transfer of money.

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Take Card Vendors Out of the Student Aid Refund Game

05/05/16

Students with excess cash but no bank account have fallen victim to predatory financial vendors, but the government can take steps to bypass the middleman.

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Morning Scan: CFPB Set to End Mandatory Arbitration for Consumers

05/05/16

New York Times

The Times has a curtain-raiser on the Consumer Financial Protection Bureau's proposal to let consumers bring class-action lawsuits against banks and other financial-services companies, rather than be forced into mandatory arbitration. Read a concise account of the CFPB's proposal by American Banker's Kate Berry here. The proposal, if approved, would be a "major setback for banks, credit unions, credit card companies and many other financial firms," AB reports. In fact, the proposal would...

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CHC Group Files for Bankruptcy

05/05/16

[wsj-responsive-image P="//art.wsj.net/api/photos/38115558/smartcrop?height=499&width=749" J="//art.wsj.net/api/photos/38115558/smartcrop?height=639&width=959" M="//art.wsj.net/api/photos/38115558/smartcrop?height=853&width=1280" caption="Norwegian police and rescue workers are cleaning up in the area around the helicopter crash site in Turoy, outside Bergen, Norway. Helicopter operator CHc Group filed for bankruptcy protection days after the April 29 crash." credit="European Pressphoto Agency" placement="Inline" suppressEnlarge="false" ]

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OK, Marketplace Lenders, I'll Say It: Told You So

05/04/16

The hits that alternative lenders like OnDeck Capital are taking shouldn't be a surprise for an industry built on unsustainable business models.

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Aéropostale Lashes Out at Lender After Filing for Bankruptcy

05/04/16

Companies in bankruptcy are typically at the mercy of the lenders that hold the purse strings. Teen clothing retailer Aéropostale Inc. is trying to tip the scales in its favor.

The company immediately took aim at lender Sycamore Partners after filing for bankruptcy Wednesday, saying the private-equity firm directed a company it controls to cut off credit to the struggling retailer, hastening its demise.

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Here’s the List of U.S. Stores Aeropostale Plans to Close

05/04/16

Aeropostale is seeking the “prompt closure” of 154 locations following the teen retailer’s chapter 11 filing Wednesday, about one-fifth of its store base.

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Dodd-Frank Failures Bolster Case for Revamp

05/04/16

With agencies created by the Dodd-Frank Act embroiled in court battles and continued questions dealing with "too big to fail," can anyone honestly say the reform law is working?

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Morning Scan: Prosper's Layoffs Show Marketplace Lender Backlash

05/04/16

Wall Street Journal

The backlash to online marketplace lenders is in full swing. Prosper Marketplace will fire 171 workers and its CEO won't take a salary, as loan volume declines and investors purchase fewer loans. The company will close a Utah office that's assigned to making loans for medical procedures, as it will make cuts totaling about 14% of its workforce, which is based in both San Francisco and Phoenix. Prosper's chief risk officer is being...

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