Mitchell Modell, the former president and CEO of Modell’s Sporting Goods Inc., reached a nearly $23 million settlement with his company’s liquidating trustee who accused him of facilitating transfers that benefited family companies before filing for bankruptcy.
Modell’s Sporting Goods received approval of its liquidation plan in October 2020. Modell and former CFO Eric Spiel were accused in 2022 of breaching their fiduciary duties when the company was insolvent, in a lawsuit filed by Steven Balasiano, the trustee of the MSGI Liquidation Trust. Spiel has since settled with Balasiano for $2.8 million.
Balasiano asked the US Bankruptcy Court for the ...
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