Foley Partner Salvatore Barbatano authored an article that appeared in HedgeWorld on May 13, 2010 titled “Disclosure by Ad Hoc Committees Under Bankruptcy Rule 2019: ‘Oh, By the Way…’” Barbatano discusses the ad hoc committee disclosure requirements imposed by Federal Bankruptcy Rule 2019. He notes that debtors and official committees have sought to regain leverage in the reorganization process by moving to have Bankruptcy Courts enforce the disclosure requirements of Rule 2019 on ad hoc committees and other unofficial creditor groups. He adds that many of the active participants in distressed debt trading may leave the field if proposed amendments to Rule 2019 result in a mandate for broader disclosure.
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