On January 18, 2013, RG Steel Warren, LLC, Debtor in Possession in the WP Steel Venture LLC Bankruptcy, commenced Chapter 5 preferential transfer recovery litigation with the filing of 137 complaints in the District of Delaware . These complaints are in addition to the 287 preference complaints already filed by co-debtor RG Steel Sparrows Point LLC. These complaints add $40 million in preference claims to the more than $107 million filed by RG Steel Sparrows Point. The plaintiff may also be expecting that the yield on these claims will be higher than usual . . . the ordinary course of business defense appears questionable for many of the preference period payments.
Articles tagged with: RG Steel Sparrows Point LLC
RG Steel Sparrows Point Starts WP Steel Venture LLC Bankruptcy Preference Recovery
On from January 7 to January 9, 2013, RG Steel Sparrows Point, LLC, Debtor in Possession in the WP Steel Venture LLC Bankruptcy, commenced Chapter 5 preferential transfer recovery litigation with the filing of 287 complaints in the District of Delaware . This plaintiff/debtor in possession has tapped a honey hole of preference claims totaling, to this point, more than $107 million. The plaintiff may also be expecting that the yield on these claims will be higher than usual . . . the ordinary course of business defense appears questionable for many of the preference period payments.