AmFin Creditor Says Ch. 11 Plan Is Too Opaque

Law360, New York (August 30, 2011, 7:31 PM EDT) -- The manager of a trust holding $5 million of AmFin Financial Corp. securities on Monday said AmFin needs to give creditors more details about its Chapter 11 plan before an Ohio bankruptcy court and say whether company insiders misled investors.

HoldCo Advisors LP objected to ambiguities in AmFin’s latest disclosure statement, contending that junior creditors need to know how the plan treats their claims, whether it preserves AmFin’s net operating losses and if insurance policies cover potential investor claims over subsidiary AmTrust Bank’s subprime lending practices....
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