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Judge Revives Ch. 11 Claims Against Ex-Essar Execs
Law360 (May 5, 2021, 9:16 PM EDT) A Delaware bankruptcy judge on Wednesday denied a motion to dismiss a new complaint alleging that former top executives of steelmaker Essar Steel Minnesota helped loot $1 billion from the company and pushed it into Chapter 11, saying it has enough details to be viable.
In his ruling, U.S. Bankruptcy Judge Brendan Shannon said that unlike a complaint he tossed in 2019, the third amended complaint filed in the case by Essar s litigation trustee contains enough specific allegations against former Essar Steel President and CEO Madhu Vuppuluri and Chief Financial Officer Sanjay Bhartia to survive their motion to dismiss.
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