maintained by John DeGroote Services, LLC, Trustee

 

BearingPoint, Inc. Liquidating Trust Announces Special Litigation Distribution

July 18th, 2013 - Litigation, News Updates

DALLAS–(BUSINESS WIRE)–John DeGroote Services, LLC, as Liquidating Trustee to the BearingPoint, Inc. Liquidating Trust, announced today a $28 million special litigation distribution to creditors. This supplemental distribution will be made immediately and results from the Trust’s lawsuit against former Directors and the former Chief Executive Officer of BearingPoint, Inc., which was settled for $55 million with no admission of liability.

“This distribution caps a three-year effort by our team. We’re happy to get this money into the hands of our creditors, where it belongs,” said John DeGroote, President of John DeGroote Services, LLC.

With this distribution, the Trust has returned over $476 million to BearingPoint’s creditors, including payment in full to secured lenders, full satisfaction of BearingPoint, Inc.’s Paid Time Off obligations to former employees, payment of over $4 million to additional administrative and priority creditors, and $54 million to unsecured creditors. The Unsecured Creditor Pool now stands at approximately $781 million.

“At this point the primary assets of the Trust have been liquidated, and our remaining focus is to extinguish the final obligations of the Trust,” DeGroote said. “We do not anticipate a final distribution for at least another year, and the amount of that distribution, if any, will hinge on the cost of those efforts and the net amounts realized from our remaining assets,” he added.

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