U.S. Trustee, Creditors Object to Ellett Brothers Liquidation Plan
As the liquidation of the remaining assets of Ellett parent SportCo proceeds, several objections have been raised as unsecured creditors jockey for position with controlling private equity shareholder Wellspring Capital. The U.S. Trustee, who is responsible for reviewing the progression of the bankruptcy case to ensure it follows applicable laws, filed an objection to the SportCo liquidation plan because it grants broad protection from lawsuits to the debtors, the unsecured creditors committee, the prepetition term loan lenders and all their professionals As we’ve reported previously, SportCo’s prepetition lender Prospect Capital is currently suing Wellspring in a separate case accusing it ... Log in to view full article.