Del. Ch. 11 Judge Tosses CarbonLite Trustee Clawback Claim

By Leslie A. Pappas (September 6, 2023, 5:32 PM EDT) -- A longtime business associate of now-defunct Los Angeles plastics recycler CarbonLite does not have to return $2.7 million of loan repayments that the company transferred before filing for bankruptcy in 2021 because he is not an insider, a Delaware bankruptcy judge ruled Tuesday, denying a trustee's motion to claw back the funds....

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