U.S. Jewish History Museum to Close Charles Schwab Account

The bankrupt National Museum of American Jewish History will close the brokerage account where its endowment funds are invested in order to resolve objections from the Justice Department’s bankruptcy watchdog.

“We are willing to liquidate the account” and convert the funds into cash, Peter C. Hughes of Dilworth Paxson LLP, the museum’s counsel, said Wednesday at a telephonic hearing in the U.S. Bankruptcy Court for the Eastern District of Pennsylvania.

The U.S. Trustee’s Office objected to the museum keeping the brokerage account with Charles Schwab, saying it isn’t a government-approved institution under the bankruptcy code. Funds held in a brokerage ...