« Is Fraudulent Transfer in Joe Paterno's Playbook? | Main | Is Bank of America Gambling on Resurrection (or Is BoA Holding the US Hostage)? »

Corzine's $12 million

posted by Adam Levitin

I know this is a bit tardy, but I've been meaning to post on this. A couple weeks ago, the media were making a big deal about Jon Corzine renouncing the $12 million in severance he is owed by MF Global. But he isn't. He's walking away from a $12 million general unsecured bankruptcy claim (as far as I can tell he's not secured) against an entity that looks to be deeply insolvent. Heck, his claim might be subject to equitable subordination. In any case, his bankruptcy claim for the severance isn't worth anything close to $12 million. If it pays out $1 million, I'd be surprised. The difference between the face and bankrutpcy value of the claim was universally missed in the reporting.

Comments

I'm shocked, SHOCKED to find that news media can't determine what the actual news is.

The comments to this entry are closed.

Contributors

Current Guests

Follow Us On Twitter

Like Us on Facebook

  • Like Us on Facebook

    By "Liking" us on Facebook, you will receive excerpts of our posts in your Facebook news feed. (If you change your mind, you can undo it later.) Note that this is different than "Liking" our Facebook page, although a "Like" in either place will get you Credit Slips post on your Facebook news feed.

News Feed

Categories

Bankr-L

  • As a public service, the University of Illinois College of Law operates Bankr-L, an e-mail list on which bankruptcy professionals can exchange information. Bankr-L is administered by one of the Credit Slips bloggers, Professor Robert M. Lawless of the University of Illinois. Although Bankr-L is a free service, membership is limited only to persons with a professional connection to the bankruptcy field (e.g., lawyer, accountant, academic, judge). To request a subscription on Bankr-L, click here to visit the page for the list and then click on the link for "Subscribe." After completing the information there, please also send an e-mail to Professor Lawless (rlawless@illinois.edu) with a short description of your professional connection to bankruptcy. A link to a URL with a professional bio or other identifying information would be great.

OTHER STUFF