Bankruptcy Blogs

Trustee Brings FBI, Accounting Experience to Solyndra Probe

03/27/12
Bloomberg News

Two days after failed solar-power company Solyndra filed for Chapter 11 bankruptcy protection, its California headquarters became the site for a surprise raid

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The Daily Docket: MF Global Lawyer To Break Her Silence

03/27/12

A House subcommittee said a top lawyer at J.P. Morgan Chase & Co. will testify at a highly anticipated hearing Wednesday into the collapse of MF Global Holdings Ltd. Read The Wall Street Journal story here.

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Principal Reduction and Strategic Default

03/26/12

Moral hazard, moral hazard, moral hazard....  How often have we heard that as a reason for why principal reductions can't be done.  As if it were the worst thing in the world.  

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USAA Is a Model for the Post-Branch Future

03/26/12

I was at the counter of the local UPS store notarizing a document when I was shocked by the comment of another person standing nearby: "I would like to make a deposit."

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Calling DeMarco's Bluff? Use the GSEs' Market Power to Force 2d Lien Write Downs

03/26/12

There's been mounting pressure on the acting head of the FHFA, Ed DeMarco to order Fannie Mae and Freddie Mac to undertake principal reductions.

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Banks' Response to Ability-to-Pay Reg Is Obtuse

03/26/12

Lawyers, compliance experts and model builders came up with new credit screens based on estimates of income. This additional step has led to much more cost and much less credit.

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How to Put More Distance Between Banks and Their Auditors

03/26/12

Audit committees must follow rules already on the books that charge them with hiring and firing auditors. That includes booting an auditor that allows executives to put banks at risk of failure for their own enrichment.

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The Daily Docket: Email Links Corzine to MF Global Transfer

03/26/12

Jon S. Corzine gave “direct instructions” to move $200 million from an MF Global Holdings Ltd. account containing customer funds three days before the securities firm collapsed, according to an employee email reviewed by congressional investigators. Read The Wall Street Journal story here.

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Bankruptcy Attorneys Are Biased: Consider Second Opinion Before You File Bankruptcy

03/26/12

I often get calls from people who have already filed personal bankruptcy with another attorney and are unhappy about the course of their bankruptcy. Many of these callers find they are losing some money or assets in their bankruptcy, and they complain that their attorney did not warn them that the these assets would be at risk. In most of these situations involve people who, in my opinion, should never have filed bankruptcy.

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