Insights from court filings stated that Genesis bankruptcy case’s first hearing will take place on January 23, 2023, as reported by Cointelegraph.
According to Cointelegraph, Sean H Lane, judge, United States Bankruptcy Court, Southern District of New York, will oversee the case. It is believed that the preliminary step of bankruptcy proceedings will highlight the court’s take on the relief under Chapter 11 by Genesis Global Hodco and two of its lending business subsidiaries. Reportedly, a joint administration of the cases was also requested by the companies.
On the basis of information by Cointelegraph, the United States Trustee is expected to put together a committee for unsecured creditors with regard to proceedings. Sources have confirmed that the committee can ensure that the companies are consulted prior to major decisions and for participation in the reorganisation plan.
Moreover, Cointelegraph noted that the Genesis Chapter 11 plans intend for a global resolution of all claims and development of a trust for distribution of assets among creditors. As per a “dual track process,” the companies will pursue the “sale, capital raise, and/or an equitization transaction” that would ensure its business “to emerge under new ownership.”
(With insights from Cointelegraph)
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