The Celsius examiner submits a preliminary investigative work plan
The examiner in the Celsius bankruptcy has presented a preliminary plan estimating that the whole cost of her probe may reach $5 million and has also requested that Celsius accelerate its disclosures.
The first goal of Shoba Pillay’s inquiry is to have a better understanding of the number and scope of documents and data that her team will need to evaluate and analyze. While the Jenner & Block attorney acknowledged that Celsius is receiving several requests for information, she emphasized that her requests must be prioritized in order to satisfy court deadlines.
“In order for the Examiner to achieve the Court’s deadlines, the speed of document access will need to be expedited,” she said in the plan she submitted today.
Her team has conveyed these concerns to Celsius and is “optimistic” that the insolvent lender would react quickly to her future requests.
While Pillay said that “any effort to budget at this stage is at best an educated guess,” she may estimate that she and her team’s fees will be between $3 and $5 million since she has not yet gotten the essential documentation to evaluate the upcoming job.
To assist the flow of information, she expects to question 15 to 25 witnesses, as well as Celsius executives and workers in “non-interview situations.” In the near future, she also expects to make a request to employ forensic and financial consultant Huron.
Additionally, her team will watch any federal inquiries into Celsius. During the Chapter 11 process, state authorities have frequently raised their concerns and noted that Celsius is the subject of a multistate investigation regarding suspected securities crimes.
On October 21, the work plan will be submitted to Chief Bankruptcy Judge Martin Glenn for approval. The deadline for parties to register objections or comments is October 18.