AgFeed Judge Nixes Bid For Ch. 11 Examiner To Probe Fraud

Law360, Wilmington (October 1, 2013, 8:28 PM EDT) -- A Delaware bankruptcy judge rejected on Tuesday the U.S. Trustee's bid for a Chapter 11 examiner to probe AgFeed Industries Inc.'s finances, saying a fraud investigation of the company's Chinese units should occur, but at present could foil an asset sale.

The Tennessee-based hog farmer lost millions of dollars in China between 2008 and 2011 due to the allegedly fraudulent conduct of its Chinese management. The U.S. Trustee's office urged the court to appoint an examiner to investigate the company's foreign finances, a move that AgFeed...
To view the full article, register now.