Bankrupt crypto brokerage Voyager Digital is obliged to pay its legal counsel Kirkland & Ellis $1.1 million for fees and expenses related to participating in the company’s bankruptcy proceedings in April.
according to According to existing documents, the law firm of Kirkland & Ellis implemented a blended hourly billing rate of $1,313.18 for various services provided in April. Cumulative fees for legal services provided by attorneys and paralegals exceeded $1.4 million.
Certain members of law firms in senior positions charge hourly rates in excess of $2,000 for their professional services.
Kirkland & Ellis is recognized for its representation of several cryptocurrency companies undergoing bankruptcy proceedings, with clients including BlockFi and Celsius.
Voyager’s bankruptcy plan was approved by the U.S. Bankruptcy Court for the Southern District of New York on May 17, 2023. A third bankruptcy plan was filed on May 5, after Binance.US abandoned plans to purchase $1 billion worth of Voyager assets on May 17, 2023. April 25.
In July 2022, due to the significant impact of the crypto credit crisis, Voyager filed for Chapter 11 bankruptcy protection in the US Bankruptcy Code, which caused serious repercussions among many lenders and brokers in the industry. Voyager was a publicly traded company in Canada under Steve Ehrlich’s previous leadership.
In its bankruptcy filing, Voyager disclosed liabilities ranging from $1 billion to $10 billion, indicating the extent of its financial obligations and the circumstances that led to the decision to seek bankruptcy protection.
related: Voyager app will reopen for customer withdrawals on June 20
Voyager isn’t the only company paying hefty fees in bankruptcy proceedings. Another firm in bankruptcy proceedings, FTX, racked up huge financial and legal advisory fees of more than $120 million between February 1 and April 30.
Cointelegraph reached out to Voyager and Kirkland & Ellis for more information, but did not hear back from the publication.
Magazine: Huobi Sues… Huobi? 3AC rises from the ashes, cryptocurrency spreads in South Korea
Svlook
