Provident Creditor Fights Trustee's $31M Clawback Suit

Law360, New York (May 8, 2012, 5:34 PM EDT) -- A creditor and former contractor of defunct Provident Royalties LLC told a Texas bankruptcy judge Thursday that a court-appointed trustee was using a $30.8 million fraud countersuit to attempt to intimidate the creditor, an oil and gas title services provider, into dropping a $6 million lawsuit.

The trustee’s $30.8 million clawback suit alleges that PFM LLC was “more than happy” to take millions in “fraudulent transfers” from Provident for substandard work. But PFM said in a motion to dismiss that the claims were “chicanery” designed to...
To view the full article, register now.