EMEA News
Slow Start in Search for OW Bunker Assets
The lawyer responsible for winding up OW Bunker's Danish companies Friday explained there has been a slow start in the search for funds to pay creditors, Bloomberg reports.
An initial difficulty has been the lack of a clear source of funds out of which professional services, including lawyers', fees can be paid.
"The problem with this bankruptcy has been that the company didn't have any cash or bank accounts that could fund work to unwind the company and pay the people taking care of the estate," said John Sommer Schmidt, partner with law firm Gorrissen Federspiel.
"We've discussed funding with some of OW Bunker's banks as they also have an interest in recovering as many assets as possible."
The slow start means that only a single car had been earmarked for creditors as of Friday.
"It's much too soon to say what, if anything, will be left for the creditors," said Sommer Schmidt.
But he hopes there will be much more to find and expects the process of winding up OW Bunker could be a lengthy one.
"We certainly hope to recover many assets, but it's premature to guess just how many," he said.
"An estate of this size doesn't just get wound up in three months."
"And if someone decides to sue, it could add another two years to the process."
Recent reports suggest legal claims against OW Bunker could exceed $300 million.
