Bankruptcy Blogs

This week, Edward Gavin, the liquidating trustee (the "Trustee") for the Ultimate Escapes bankruptcy, filed preference complaints against several defendants.  Under the complaints, the Trustee alleges that the defendants received preferential transfers that are avoidable under 11 U.S.C. section 547 of the Bankruptcy Code.  For those unfamiliar with this bankruptcy proceeding, Ultimate Escapes ("Ultimate" or the "Debtor") filed petitions for bankruptcy in the Delaware Bankruptcy Court on September 20, 2010. 

Earlier this week, George L.

The industry's movement toward plain-vanilla mortgage products since the crisis masks deficiencies in the underwriting process that remain to this day.

Wall Street Journal

If you want to catch up on FinCen's proposed expansion of anti-money laundering and know-your-customer requirements, which was released for public comment in February, the Journal offers a primer today. The gist is that "Treasury wants financial institutions to understand who owns or controls an account and keep detailed records that law-enforcement officials can access." While regulators have wanted banks to identify beneficial owners of accounts for years, the rule would codify this...

Central clearing for over-the-counter contracts will undoubtedly reduce risks, but the market still has multiple regulators and multiple sets of rules for different players and for different instruments.