Celsius Securities Plaintiffs Move to Collect From D&O Insurance

Celsius Network LLC needs to amend its restructuring plan so plaintiffs in a putative securities class action can collect damages from the bankrupt crypto lender’s insurance policies, lead plaintiffs said.

The plaintiffs do not expect to receive recovery through the bankruptcy because their claims have lower priority than other creditors, they said Friday in an objection to Celsius’ proposed restructuring plan in the US Bankruptcy Court for the Southern District of New York. But the plan should explicitly preserve their ability to collect damages against the company’s directors and officers insurance “to the extent of available insurance coverage,” the lead ...