Bankrupt Crypto Lender Celsius Gets Help From Former CFO
Rod Bolger, a 30-year banking sector veteran who left on June 30, has been asked by Celsius to return as an adviser.
The cryptocurrency lender Celsius has filed a petition to retain its former chief financial officer (CFO) Rod Bolger as an adviser for at least six weeks throughout the bankruptcy proceedings.
Bolger, who had only worked with Celsius for five months, resigned on June 30, almost four weeks after the platform first banned withdrawals due to liquidity problems.
Shortly afterwards, the lender upgraded its head of financial planning, analysis, and investor relations to the chief financial officer (CFO) role on July 11 and filed for bankruptcy two days later, despite initial resistance from its own attorneys.
“Because of Mr. Bolger’s knowledge with the debtors’ company, the debtors have asked and he has agreed, subject court permission, to continue providing advice and consulting services,” according to the petition.
According to Celsius’ attorneys, Bolger’s voluntary termination notice required him to provide eight weeks’ notice to the firm, which he did. This effectively indicates that he remains an employee. In addition, he has pledged not to work for rivals for six months after the termination of his job.
Bolger had held CFO roles at Bank of America and Royal Bank of Canada, amongst other conventional financial organisations.
Monday’s court filing by restructuring attorneys Kirkland & Ellis indicates that a hearing on the motion will take place on August 8 at 10 a.m. EDT via Zoom. The bankruptcy court in the Southern District of New York has the jurisdiction to authorise Celsius to retain the services of its former CFO.
According to the document, Celsius has promised to pay Bolger 120,000 Canadian dollars ($93,330) a month if its request is approved, prorated for partial months.
The report revealed that Bolger’s yearly pay at Celsius was $750,000, in addition to a performance-based cash incentive of up to 75% of his basic salary and unquantified stock compensation and CEL tokens.
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