Bankrupt 4E Wins Approval of Loan to Destroy Toxic Hand Sanitizer

4E Brands Northamerica, a bankrupt unit of Kimberly-Clark de Mexico, won court approval to borrow up to $3.6 million in bankruptcy loans to pay for destroying its tainted hand sanitizer inventory.

4E filed Chapter 11 in February following the U.S. Food and Drug Administration’s order to recall and destroy its inventory of the tainted hand sanitizer.

The company, which plans to liquidate, has since ceased all business operations, according to court filings.

The company won prior court approval to borrow $2 million from its parent 4E Global S.A.P.I. de C.V, which is wholly owned by Kimberly-Clark de Mexico SAB. The ...