Sunday, February 7, 2016

Minor MSM-Correcting Note -- On KaloBios Bankruptcy Procedural Motions

Some main stream media outlets were reporting on last Friday that KaloBios' lawyers had "beaten" (for the moment, at least) the DoJ's request to have an independent US Trustee appointed, over the KaloBios bankruptcy proceedings, in the Delaware federal District Court.

That is technically true -- but incomplete.

That sort of a request -- for an independent trustee -- may be effectively renewed, at several subsequent points -- in any corporate bankruptcy, like the one KaloBios filed. And it may be renewed by creditors (like the people who lost essentially all of the $8.2 million they invested -- in the most recent private placement -- which closed the night before Mr. Shkreli was arrested), not just the DoJ.

So that part of the play is far from over -- just so everyone is clear. [Recent backgrounder here.] Onward, on a mild, sunny February day -- to work out!

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