A group of First Brands Group creditors is demanding new, independent advisers for company units that issued nearly $2.5 billion in off-balance-sheet debt, claiming conflicts of interest threaten to disrupt the sprawling insolvency case of auto-parts maker.
Aequum Capital Financial and other lenders owed more than $200 million argue that the same set of lawyers and advisers cannot represent the interest of First Brands while simultaneously overseeing the off-balance sheet units, known as special purpose vehicle debtors.
UMB Bank, the agent for lenders to one of SPVs, arguedin court papers that new lawyers and day-to-day managers are necessary ...
