Bankruptcy Blogs

Morning Scan: British Banks Search for FIFA Fouls; Will Citi Close Banamex USA?

06/01/15

Receiving Wide Coverage ...

Banks Hunt for FIFA Liability: As banks in the U.S. and U.K. face scrutiny over whether they should have flagged transactions tied to the FIFA bribery scandal, some of Britain's largest financial institutions are looking to get ahead of the ball. The Wall Street Journal reports Barclays and HSBC are conducting internal reviews of the payments allegedly used to transfer $150 billion in bribes and kickbacks to soccer officials. The BBC has...

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Powerwave Preferences – Trustee Obtains Relief Regarding Service of Foreign Defendants

05/31/15

Recently in the Powerwave Technologies Inc. bankruptcy action, the Chapter 7 Trustee filed in excess of 100 preference actions seeking to avoid and recover alleged preferential transfers pursuant to Sections 547 and 550 of the Bankruptcy Code.  To read a prior post on the filing of these actions, click here.

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United States Supreme Court Expands Power of Bankruptcy Courts- Wellness Int’l v. Sharif

05/31/15

Holding: Article III permits bankruptcy judges to adjudicate Stern claims with the parties’ knowing and voluntary consent.  Consent by parties also need not be in writing but can be determined through conduct.

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How to Avoid Market Panics When Big Banks Fail: Weekly Wrap

05/29/15

A recap of the informed opinions (and the discussions they generated) on BankThink this week, including a call for a small-business loan brokers' code of ethics and why Congress needs to level the playing field for investors in bank obligations.

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Next Week in Bankruptcy

05/29/15

On Wednesday, biofuel maker KiOR Inc. will go before a Wilmington, Del., bankruptcy judge to seek final approval of its chapter 11 reorganization plan.

Under the proposed plan, KiOR will turn over control of its business to lender Pasadena Investments LLC—a company affiliated with venture capitalist and KiOR co-founder Vinod Khosla—in exchange for $16 million in debt forgiveness.

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Bank Brands Need to Make Their Own 'Finding Nemo'

05/29/15

The Disney-Pixar movie 'Finding Nemo' inspired a run on clownfish in pet stores across America. Banks should pursue the same effect with content that connects with customers on an emotional level and inspires them to take action.

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Morning Scan: Visa Threatens FIFA Sponsorship Withdrawal; Fuld Bites Back

05/29/15

Receiving Wide Coverage ...

Red Card: Visa has become a key player in the FIFA corruption scandal. The credit-card network, one of FIFA's top corporate sponsors, said it's disappointment in the FIFA scandal was "profound" and added it may end its sponsorship agreements with soccer's governing body if changes aren't made. Visa's comments were the strongest voice of concern among all of FIFA's corporate sponsors. FIFA earns a total $177 million yearly from corporate sponsors, which...

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Fifth Circuit Narrows Fraud Dischargeability Claims

05/28/15
Rejecting a Seventh Circuit precedent, the Fifth Circuit has ruled that a non-dischargeability claim under section 523(a)(2)(A) must be based upon a false representation.    While bad conduct that does not involve a misrepresentation may be actionable under other sections of the Code, it will not constitute actual fraud under Sec. 523(a)(2)(A).   Husky International Electronics, Incorporated v. Ritz (Matter of Ritz), No. 14-20526 (5th Cir. 5/22/15).
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IMRIS, Inc. Formation Meeting Scheduled

05/28/15

In the IMRIS, Inc. bankruptcy proceeding (Delaware Bankruptcy Case No. 15-11133), a formation meeting has been scheduled for Thursday, June 4, 2015 at 10:00 a.m. (ET) at the J.

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