Trustee Fights $2M Bonus For ResCap Restructuring Chief

Law360, New York (January 3, 2014, 1:43 PM EST) -- The federal government’s bankruptcy watchdog on Thursday urged a New York bankruptcy judge to reject a $2 million bonus lawyers for Residential Capital LLC are seeking for the defunct mortgage servicer’s chief restructuring officer, saying it’s far too generous.

U.S. Trustee William K. Harrington argued in court papers that Lewis Kruger, who served as CRO for around 10 months during ResCap’s Chapter 11 case, is already being paid handsomely for his services. His regular pay is $895 an hour, but attorneys are now asking to award...
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