Crypto lending platform Celsius filed a bankruptcy reorganization plan in the middle of last month, with the exception of Pharos USD Fund, SBF’s Alameda Research…
And hundreds of millions of dollars.
Even about 100 US government agencies were listed as creditors in Celsius’s bankruptcy, according to an 8/2 notice to creditors filed in the US Bankruptcy Court for the Southern District of New York.
Government agencies with claims include the Alabama Department of Treasury, the Alaska Department of Taxation, the Arizona Department of Taxation, the California Attorney General’s Office, the United States Department of the Treasury…
Etc.
It is estimated that Celsius will be able to access so many government agencies on the list of creditors at one time because it has been accessed by a user in each of the United States who has applied for subrogation, plus residual taxes and fees.
The second Creditors List hearing was extended to Mid-August Celsius’s first bankruptcy hearing was held on July 18. It was previously reported that the company was $5.5 billion in arrears to creditors, with a shortfall of $1.19 billion after deducting the platform’s current assets.
Celsius said on Twitter earlier today (4) that its second hearing would be postponed until August 17 at 2:00am Beijing Time.
“We are encouraged that the work of the unsecured creditors committee, composed of our clients, is still ongoing.
In accordance with their request for some additional time, our second hearing has been rescheduled to August 16 at 2:00 PM ET.
We look forward to continuing the process on the same day.
Celsius is proposing to rehire former Treasurer Rod Bolger at a salary of $92,000 per month as a special counsel to handle bankruptcy proceedings, according to another July 25 filing from the U.S. Bankruptcy Court for the Southern District of New York.
Celsius emphasized that Bolger was rehired primarily because of his familiarity with creditors and Bolger had agreed to provide consulting services to creditors prior to court approval.
As Celsius is currently in the phase of a reorganization plan, whether to rehire Rod Bolger at a higher salary will be subject to a separate video hearing on August 8, which will be considered by creditors and approved by the Court.
Bolger replaced Yaron Shalem, the former chief financial officer who was arrested in Israel in November on charges of cryptocurrency fraud. Chris Ferraro, the current chief financial officer, said the accounting and expertise needed to deal with a bankruptcy could not be found in one person.