TelexFree victims vote for distribution plan
Voting on the proposed TelexFree liquidation plan closed on June 30th.
A published tally of the ballots reveals that TelexFree victims voted in support of the liquidation plan.
As per the Trustee’s July 7th report;
- Class 1 (priority claims) voted to accept the plan
- Class 2 (participant convenience claims) voted to accept the plan
- Class 3 (general participant claims) voted to accept the plan
- Class 4 (vendor claims) didn’t vote but were counted as accepting the plan
- Class 5 (equity interest debtors) voted against the plan
The overwhelming majority of Classes 2 and 3, made up of TelexFree victims, voted to accept the plan.
Class 2, representing $25.7 million in claims, saw 99.52% out of 15,638 ballots vote for the plan.
Class 3, representing $152.2 million in claims, saw 99.27% of 27,876 ballots vote for the plan.
Pending acceptance of the vote by the court and distribution timeline scheduling, stay tuned…
Update 9th July 2020 – As per a filed July 8th Proceeding Memorandum and Order, the TelexFree distribution plan has been approved.
A full order is yet to be filed. Depending on what’s in it, I’ll then decide if a separate article is necessary.
Please note at this time there is no distribution timeline. If one is provided in the full order I’ll most certainly be publishing a separate article.
Update 10th July 2020 – The liquidation plan approval order contains important information pertaining to distribution payments.