Global Brokerage to have First Day Hearing in its Chapter 11 bankruptcy case on December 13th
A dozen of motions and related pleadings are included in the agenda proposed by King & Spalding LLP, Counsel for the Debtor.
Following yesterday’s filing for Chapter 11 bankruptcy by Global Brokerage Inc (NASDAQ:GLBR), the proceedings are gradually developing at the New York Southern Bankruptcy Court.
Earlier today, Judge Michael E. Wiles was added to the case. Also today, Global Brokerage had the so-called “First Day Hearing” in its Chapter 11 case scheduled for December 13, 2017, before he Honorable Michael E. Wiles. The agenda for the hearing has also been specified.
A dozen of motions and related pleadings form part of the agenda proposed by King & Spalding LLP, Counsel for the Debtor. These range from a motion for authorization to continue using Global Brokerage’s existing bank account and business forms to a motion for authority to pay prepetition claims of general unsecured creditors in the ordinary course of business. A motion for the entry of an order establishing notification procedures and approving restrictions on certain transfers of interests in the debtor is also on the agenda outlined by Global Brokerage’s Counsel.
As FinanceFeeds reported earlier, Global Brokerage is pushing for a swift and seamless transition into Chapter 11. The aim is to preserve the Debtor’s business and quickly effectuate the restructuring embodied in the restructuring agreement and the Chapter 11 plan. During what Global Brokerage expects will be a short Chapter 11 Case, operations must continue in the ordinary course of business to preserve the value of the business and implement the reorganization transaction.
Global Brokerage is requesting to compensate the professionals it employs. The company seeks authority to: (i) establish certain procedures to retain and compensate those professionals that the Debtor employs in the ordinary course of business (“Ordinary Course Professionals”), effective as of the Petition Date, without (a) the submission of separate employment applications or (b) the issuance of separate retention orders for each individual Ordinary Course Professional, and (ii) compensate and reimburse such professionals without individual fee applications.
The “Ordinary Course Professionals” provide professional services relating to litigation, regulatory matters, general corporate matters, and tax and accounting matters, as well as other issues and matters that have a direct and significant impact on Global Brokerage’s day-to-day operations as a public company.
Regarding Global Brokerage’s top ranks, let’s note that in his Declaration with the Court, Global Brokerage’s CEO Kenneth Grossman stated that he is the only person on the Debtor’s payroll. All other officers are paid by non-debtor Affiliates.