FREE MEMBERSHIP Includes » ABL Advisor eNews + iData Blasts | JOIN NOW ABLAdvisor Gray ABLAdvisor Blue
 
Skip Navigation LinksHome / Articles / Read Article

Print

McKinsey Agrees to Pay $15MM to End Bankruptcy Probe, Bloomberg

Date: Feb 20, 2019 @ 09:06 AM
Filed Under: Bankruptcy

Bloomberg reported McKinsey & Co. agreed to pay $15 million to end a probe by the U.S. Trustee into whether the global consulting firm violated disclosure rules designed to prevent conflicts of interest in corporate bankruptcies, a federal judge said in a court filing.

According to the Bloomberg report, under the terms, McKinsey did not admit wrongdoing and the U.S. Trustee agreed to drop its objections to fees charged by the company’s bankruptcy unit in three Chapter 11 cases. U.S. Bankruptcy Judge Marvin Isgur had been mediating a months-long dispute between McKinsey and the U.S. Trustee and Jay Alix, a retired bankruptcy adviser. The Trustee’s office and Alix accused McKinsey of hiding potential conflicts of interest that could have disqualified from the company from acting as a bankruptcy adviser in some cases.

Read the full Bloomberg report here.

Comments From Our Members

You must be an ABL Advisor member to post comments. Login or Join Now.