RCT Revives Billion Dollar Fraudulent Transfer Suit in In Re Boston Generating
The BosGen Liquidating Trustee engaged RCT to pursue over $1 billion in fraudulent transfer claims that have been pending for over seven years in the Bankruptcy Court for the Southern District of New York. The claims were presumed dead as a result of the application of the section 546(e) safe harbor. Using its experience from Merit Management and other fraudulent transfer cases, RCT thoroughly analyzed the transactions in light of recent developments in the law and repleaded the claims to avoid the section 546(e) defense. On Thursday April 25, 2019, Judge Wiles of the SDNY granted RCT’s motion for leave to amend the complaint, which now sets up a motion to dismiss battle. With prejudgment interest the value of this case now exceeds $2 billion. RCT is, once again, on the cutting edge of the law concerning the pursuit of complicated fraudulent transfer claims.
See Third Amended Complaint here.
Prior results do not guarantee a similar outcome.