USFIA Receivership negotiates IRS settlement, seeks approval
The USFIA Receivership and IRS have reached a settlement regarding tax claims held by the IRS.
Pending court approval, this paves the way for USFIA victim distribution payments to go out.
As per a stipulation filing on June 1st, the Receiver advises;
The United States, on behalf of the IRS, the SEC and the Receiver have met and conferred with regard to the Motion and resolved their issues by this Stipulation, whereby the United States agrees that the claims of investors with Allowed Claims and the Administrative Expenses of the Receiver and the receivership shall have priority over the present and future claims of the IRS.
The settlement renders the Receiver’s previously submitted Distribution Plan moot. In the original plan the Receivership intended to set aside $15 million to settle potential IRS claims.
That money is now freed up and will be put towards the distribution process.
Once the stipulation is approved, the Receivership will move towards sending approved distribution payments out. There is no timeline for this.
At time of publication the court has yet to approve the Receiver’s stipulation. I’ll continue to monitor the docket for updates.
Update 22nd June 2022 – The Receiver has secured approval to send out USFIA victim distribution payments.