UPDATE: SETTLEMENT APPROVED
2021-02-25 [250] Order Approving Settlement – Butler Snow
On January 11, 2021, the Receiver submitted to the Court a proposed settlement with Butler Snow LLP; Butler Snow Advisory Services, LLC; and Matt Thornton (“Butler Snow”). In exchange for the Receivership Estate’s release of claims, Butler Snow agrees to make a cash payment of $9,500,000 to the Receivership Estate.
The proposed order approving settlement includes a channeling injunction, sometimes called a “bar order,” which would bar any person from separately asserting claims against Butler Snow arising out of or relating to the Madison Timber Ponzi scheme. Those claims instead would be “channeled” through the Receivership Estate.
Victims of the Madison Timber Ponzi scheme, as the ultimate beneficiaries of the Receivership Estate, have a substantial interest in the Receivership Estate’s claims against Butler Snow and their proposed resolution. The Court, mindful of this fact, agrees with the Receiver that interested parties should have an opportunity to be heard before the proposed settlement is approved.
The Court has entered an Order Setting Hearing, providing that:
1. The Court shall hold a public hearing on the proposed settlement on February 23, 2021 at 1:30 P.M. CST via Zoom.
UPDATE: SETTLEMENT APPROVED
2021-02-25 [250] Order Approving Settlement – Butler Snow
2. Anyone who wishes may submit a written comment, for or against the proposed settlement, at least five days prior to the public hearing. Written comments may be submitted either to the Court or to the Receiver
The deadline for written comment has expired.
The following objections were filed:
2021-02-16 [230] Baker Donelson’s objection to Motion to Approve Settlement
2021-02-17 [231] Alexander Seawright’s objection to proposed Butler Snow settlement
2021-02-18 [232] Jon Seawright’s objection to Proposed Butler Snow settlement
2021-02-18 [233] BankPlus’s objections to proposed Butler Snow settlement
2021-02-18 [235] Mutual of Omaha objection to proposed Butler Snow settlement
2021-02-18 [237] RiverHills Bank’s objection to proposed Butler Snow settlement
2021-02-18 [238] John Hawkins’s objection to proposed Butler Snow settlement
The Receiver filed the following response to the objections:
2021-02-22 [241] Receiver’s response to objections
3. For more information, contact the Receiver directly or:
click here for Order Setting Hearing on Proposed Settlement with Butler Snow
click here for Receiver’s Motion to Approve Proposed Settlement with Butler Snow
click here for Proposed Settlement Agreement with Butler Snow
click here for Proposed Order Approving Settlement with Butler Snow