Northwest Paid $1M In Early Bankruptcy Fees

Law360, New York (June 20, 2006, 12:00 AM EDT) -- Northwest Airlines doled out nearly $1 million in legal fees to its lead bankruptcy law firm in April of 2005—more than five months before it filed for Chapter 11 protection, court documents revealed.

The finding suggests that four Northwest executives may have known about the certainty of the bankruptcy when they sold their shares in the company.

Northwest wrote three checks to their lead bankruptcy counsel Cadwalader, Wickersham & Taft on April 7, 2005 totaling $974,941, according to court documents filed last Thursday.

Beginning on April...
To view the full article, register now.