Liquidity Solutions (LSI) filed with the U.S. Bankruptcy Court a motion to reconsider its motion, objection and joinder to the Nortel Trade Claims Consortium’s (i) motion for reconsideration and vacation of the Court’s December 18, 2014 post-petition interest (PPI) settlement order and (ii) objection to crossover bonds claims.
LSI’s motion explains, “In the Reconsideration Motion, the Trade Consortium asserts that cause exists for this Court to reconsider and vacate its PPI Settlement Order, in which, among other things, the Court ‘provisionally’ allowed the Crossover Bondholders to assert an approximately $4.0 billion general unsecured claim against the U.S. Debtors on the basis of factual premises which no longer exist.”
The motion continues, “LSI also seeks reconsideration and vacation of the PPI Settlement Order, and objects to the Crossover Bonds Claims, independently and of its own accord. In addition to the reasons set forth in the Reconsideration Motion…, in the wake of the Allocation Opinion, the allowance of the Crossover Bonds Claims against the U.S. Debtors should be reconsidered for another reason. The Allocation Opinion appears to constitute a de facto reclassification or re-characterization of the Crossover Bonds Claims vis-a-vis other U.S. General Unsecured Claims (the ‘Non-Bonds Claims’) which warrants re-examining whether the Crossover Bonds Claims should be treated paripassu with the Non-Bonds Claims.”
The Court scheduled a December 20, 2016 hearing to consider the motion, with objections due by December 13, 2016. Read more Nortel bankruptcy news.
The post Nortel Networks Reconsideration Sought appeared first on Daily Bankrupt Company Updates | Bankrupt Company News.