McKinsey Should Be Barred From Coal Bankruptcy Case: Trustee (1)

McKinsey & Co. should be denied consulting work -- and the lucrative fees it gets as a result -- in the Westmoreland Coal Co. bankruptcy, federal lawyers said in the latest attack on the firm’s restructuring business.

The consulting giant has refused to disclose potential conflicts of interest in the coal case and is acting as a creditor itself, the U.S. Trustee, an arm of the Department of Justice, told a judge in Texas. That should bar McKinsey from giving Westmoreland advice on how to restructure its debt, the lawyers said.

“McKinsey RTS must be held to the same standard ...