Insolvency Guardian Media Centre
Cirque du Soleil Entertainment Group have filed for bankruptcy after the coronavirus pandemic forced it to close productions around the world.The group, best known for its flamboyant touring circuses, said the coronavirus pandemic had forced it to cancel shows and lay off its artists. The company will now try to restructure while shedding about 95% of its staff.
With zero revenue since the forced closure of all of our shows due to Covid-19, the management had to act decisively, said boss Daniel Lamarre.
Cirque du Soleil Entertainment Group announced that it, and certain of its affiliated companies have filed for protection from creditors under the Companies Creditors Arrangement Act in order to restructure its capital structure. I…
Read the full article at: https://aussietheatre.com.au/international/cirque-de-soleil-filed-for-bankruptcy-cuts-3500-jobs-amid-pandemic-crisis
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By Andrea Shalal
WASHINGTON (Reuters) – Private sector participation will be essential to ensuring the success of a debt relief initiative launched by the Group of 20 major economies for the world’s poorest countries, the chief economist of the International Monetary Fund said on Monday.
The G20’s offer to suspend official bilateral debt service payments by the poorest countries would likely need to be extended beyond the end of the year, Gita Gopinath told an online event hosted by the Center for Strategic and International Studies think tank.”We absolutely would want the private sector to also be involved,” she said. “That would be essential now going forward.”
The G20 secretaria…
Read the full article at: https://whtc.com/news/articles/2020/jun/29/imfs-gopinath-says-private-sector-participation-in-g20-debt-relief-essential/1034328/?refer-section=business
Australian swimwear and fashion brand Seafolly is the latest business to fall into voluntary administration after being affected by the COVID-19 pandemic.
The brand appointed KordaMentha as administrators after suffering crippling financial impact amid the coronavirus pandemic.
Administrator Scott Langdon said in a statement it will be business as usual for customers as the administrators considered options for the brand.
Seafolly gift cards and Beach Club Rewards points will remain fully redeemable.
Langdon added that KordaMentha will begin the process to sell the business immediately.
Given the quality of the brand and its reputation, there will inevitably be a high level of interest in purchasing the business, he said.
Seafolly w…
Read the full article at: https://www.businessinsider.com.au/seafolly-voluntary-administration-2020-6
Pramod Mittal, who spent 50 million on his daughters wedding, owes 130 million to UK firm.
IN LONDON Pramod Mittal, younger brother of steel magnate Lakshmi Mittal and himself a former steel tycoon, has been declared bankrupt by the Insolvency and Companies Court in London. Pramod Mittal, who spent 50 million on his daughters wedding, owes more than 130 million to Moorgate Industries, a British company. Mittals lawyers have indicated they would appeal the bankruptcy order.
Judge Burton issued the bankruptcy order on June 19, after dismissing Mittals application seeking a 12-week adjournment. The court also did not agree with any of the four grounds on which Mittal sought to oppose the bankruptcy order, which included that the petition by M…
Read the full article at: https://mumbaimirror.indiatimes.com/mumbai/other/brother-of-lakshmi-mittal-declared-bankrupt-by-uk-court/articleshow/76700795.cms
LAS VEGAS (FOX5) — Cirque du Soleil plans to restructure the company and “restart business” by filing for protection against creditors, a company spokesperson confirmed Monday.
Due to “immense disruption” caused by the COVID-19 pandemic related to canceled performances and economic hardship, Cirque du Soleil Entertainment Group seeks to settle its debts and “restart business” with a comprehensive restructuring plan.
“For the past 36 years, Cirque du Soleil has been a highly successful and profitable organization. However, with zero revenues since the forced closure of all of our shows due to COVID-19, management had to act decisively to protect the Companys future,” President and CEO of Cirque du Soleil Entertainment Group Daniel Lama…
Read the full article at: https://www.fox5vegas.com/more/cirque-du-soleil-planning-company-restructure-under-u-s-bankruptcy-laws-to-restart-business/article_b8635b38-ba27-11ea-a947-7702372f9f53.html
FILE PHOTO: International Monetary Fund Chief Economist Gita Gopinath takes questions at the annual meetings of the IMF and World Bank in Washington, U.S., October 18, 2019. REUTERS/James Lawler Duggan
WASHINGTON (Reuters) – Private sector participation will be essential to ensuring the success of a debt relief initiative launched by the Group of 20 major economies for the worlds poorest countries, the chief economist of the International Monetary Fund said on Monday.
The G20s offer to suspend official bilateral debt service payments by the poorest countries would likely need to be extended beyond the end of the year, Gita Gopinath told an online event hosted by the Center for Strategic and International Studies think tank.We absolutely w…
Read the full article at: https://www.reuters.com/article/health-coronavirus-imf-debt/update-1-private-sector-participation-in-g20-debt-relief-essential-imf-idUSL1N2E61JX
Wayne Beck brings a wide range of high-level experience to client engagements, including acting for creditors, creditor committees, debtors, insolvency practitioners, banks and other financial institutions, and purchasers of distressed assets in cross-border, multijurisdictional and domestic insolvency, corporate reorganization, recovery, turnaround and litigation matters.
Wayne has also assisted with the restructuring of a number of distressed securitizations and other structured finance products, including distressed collateralized debt obligations (CDOs), structured investment vehicles (SIVs) and commercial mortgage-backed securities (CMBS). He has also regularly advised clients on security and insolvency law aspects of commercial, s…
Read the full article at: https://www.natlawreview.com/article/corporate-insolvency-and-governance-act-2020-new-era-restructuring
Should Student Loan Debt Be Easier to Discharge in Bankruptcy?
Pro 1
Denying student loan debtors the benefits of bankruptcy is unfair.
The US Supreme Court said in 1915 that the benefits of bankruptcy allow debtors to start afresh free from the obligations and responsibilities. Famous business leaders from Henry Ford to President Donald Trump have used bankruptcy for a fresh start.
Car loans, credit card charges, medical bills, and even gambling debts can be discharged in bankruptcy; not allowing educational debt to be discharged is unfair. Mark Huelsman, EdM, Senior Policy Analyst at Demos, wrote, [I]n a world where most students must borrow for a credential, borrowers should receive the same failsafe protections on these loan…
Read the full article at: https://www.procon.org/headlines/should-student-loan-debt-be-easier-to-discharge-in-bankruptcy-top-3-pros-cons/
The man said he’d accrued a gambling debt abroad in 2017. The man inherited 98,000 after a home he jointly owned, but did not live in was sold in 2018, a report by the Local Government Ombudsman revealed. Within weeks he’d used used the cash to settle a debt he’d built up abroad.
He had been receiving free social care from Wakefield Council for five years until that point, but had not originally told them about the property, the report said.
He has now lost an appeal against the council’s decision to withdraw free social care, which was made on the basis he had more than 23,250 – the threshold at which someone must pay for their own care.
The man said the five-figure sum had only been in his account for three weeks. …
Read the full article at: https://www.pontefractandcastlefordexpress.co.uk/health/man-deprived-free-social-care-after-row-over-gambling-debt-around-ps98000-2898379
Fox News senior judicial analyst Judge Andrew Napolitano breaks down the Supreme Court’s ruling calling for a restructuring of the Consumer Financial Protection Bureau.
WASHINGTON — TheSupreme Courton Monday ordered changes to a government consumer-finance watchdog created in the wake of the 2008 financial crisis, ruling the agency’s structure was unconstitutional because its director held too much-unchecked power.
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Thecourtin a 5-4 ruling said Congress overstepped constitutional lines in 2010 when it created the Consumer Financial Protection Bureau and placed it under the control of a single director who was insulated from the White House’s political direction. Lawmakers, attempting to give the bure…
Read the full article at: https://www.foxbusiness.com/money/supreme-court-consumer-financial-protection-bureau-restructure
Lawmakers and businesses are pushing the U.S. government to offer debt relief to hundreds of small hotel owners who borrowed with the help of bond markets.
But the biggest beneficiaries of any assistance could be large real estate owners affiliated with properties that owe troubled hotel debt, according to an analysis by hotel union Unite Here International, which analyzed public filings and data from research firm Trepp LLC as of June 16.
…
Read the full article at: https://www.wsj.com/articles/big-hotel-owners-stand-to-gain-from-a-government-orchestrated-debt-relief-11593440489
The enactment of the new Corporate Insolvency and Governance (CIG) Actinto law on 26 June 2020 will have significant impact on the restructuring of distressed companies, and in particular those affected by the coronavirus pandemic. This will have a knock-on impact on the way DB pension schemes are funded and influence the actions trustees can and should take.
The CIG Act and pension scheme trustees
The Corporate Insolvency and Governance Act brings the most significant change to UK restructuring and insolvency practice since the Enterprise Act of 2003.
The purpose of the Act is to provide relief to companies managing the impact of the coronavirus pandemic. It combines a temporary relaxation of some insolvency laws to provide companies w…
Read the full article at: https://www.pinsentmasons.com/out-law/analysis/corporate-insolvency-governance-act-db-pension-schemes