NEW YORK, Feb. 22, 2016 /PRNewswire/ -- The Millennium Corporate Claim Trust and Lender Claim Trust formed under Millennium's Amended Prepackaged Joint Plan of Reorganization on December 21, 2015 (together, the Trusts) announced today that they have retained Wollmuth Maher & Deutsch LLP and Brown Rudnick LLP as co-counsel to investigate and prosecute certain claims assigned to the Trusts against third parties not released under the Plan. The investigation concerns the April 2014 sale of over $1.8 billion of Millennium loans for which J.P. Morgan Securities LLC and Citibank Global Markets acted as joint lead arrangers and joint bookrunners.
Wollmuth Maher is one of the country's leading firms focused on representing institutional investors seeking to recover investment losses through direct actions rather than by participating in class actions. The firm handles cases involving investments of all kinds, including in particular structured products, such as CDOs, CLOs, RMBS, CMBS, and TruPS. Wollmuth Maher is currently litigating direct claims totaling over $15 billion, for such clients as the FDIC, the National Credit Union Administration, American International Group, Commerzbank, Pacific Life, Ambac Assurance, and Western & Southern Financial Group.
Brown Rudnick, an international law firm with offices in the United States and Europe, represents clients in high-stakes litigation, international arbitration, and complex business transactions. Clients include major public and private corporations, as well as start-up enterprises. Brown Rudnick also represents investors, lenders, and committees of each in prominent corporate restructurings. Founded more than 60 years ago, Brown Rudnick has over 230 lawyers across areas of legal practice. Brown Rudnick previously represented an ad hoc group of prepetition lenders in connection with the negotiation and confirmation of Millennium's Plan.
Marc S. Kirschner, Senior Managing Director of Goldin Associates, LLC, has been appointed Trustee of both Trusts. Goldin Associates is a leading restructuring firm specializing in providing financial advisory and interim management, litigation support, strategic valuation, governance, independent monitoring, and fiduciary services.
Mr. Kirschner said that the investigation on behalf of the Trusts by co-counsel will focus on potential claims against, among others, J.P. Morgan, Skadden Arps (as counsel to Millennium), Citibank Global Markets, BMO Capital Markets and Suntrust Bank (as co-managers), S&P, Moody's, and KPMG.
On November 10, 2015, Millennium and certain of its affiliates filed Chapter 11 petitions in the Bankruptcy Court for the District of Delaware in order to effectuate a restructuring through the Plan. The purposes of the restructuring were to implement (i) a settlement among Millennium, its prepetition lenders, and its equity holders, (ii) a settlement with the United States in connection with various disputes related to, among other things, Medicare overbilling issues, (iii) a recapitalization of Millennium, and (iv) a transfer of 100% of the then-existing equity of Millennium to the prepetition lenders.
On December 14, 2015, the Bankruptcy Court confirmed the Plan, effective on December 18, 2015. The "Equity Transfer Date" under the Plan was December 21, 2015, the same day the Trusts were established pursuant to the terms of the Plan and the relevant trust agreements.
The primary purpose of the Trusts is to liquidate certain assets on behalf of the Trusts' beneficiaries. The assets of the Corporate Claim Trust include any and all claims belonging to Millennium or the Administrative Agent under the prepetition credit agreement against third parties that were not "Released Parties" under the Plan. The assets of the Lender Claim Trust include any and all claims belonging to prepetition lenders against third parties that were not "Released Parties" under the Plan. All prepetition lenders are beneficiaries of the Corporate Claim Trust, but only prepetition lenders who voted in favor of the Plan are beneficiaries of the Lender Claim Trust.
Further information about Millennium can be found at millenniumhealth.com. Further information about the Trusts can be found at Primeclerk.com/millennium.
Marc Kirschner, Trustee, Millennium Trusts
SOURCE Wollmuth Maher & Deutsch LLP