Estate Closedown with $10 Million Greater Recovery than Expected
Indianapolis Downs, Indianapolis Indiana
Challenge
Casino and race track just south of Indianapolis. Engaged as Liquidating Trustee just prior to closing $500 million 363 sale of all tangible assets. No sales and no debt.
- Distributed majority of proceeds immediately post 363 sale to three tranches of secured debt.
- Managed $24 million pool of cash, transaction escrows and claims with goalto increase recoveries for benefit of secured creditors.
Solution
- Worked with creditors, 363 buyer and other professionals to successfully and timely resolve all post transaction escrow issues without litigation.
- Resolved all claims without litigation except for one situation which the secured creditor specifically allocated money to pursue.
- Completed all gaming and tax reporting without negative repercussions.
Results
- Distributed $10 million more cash to secured creditors than budgeted.
- Actual to budget spending represented a 28% reduction with MorrisAnderson fees 30% under budget.
- Resolved claims at 50% of budgeted amounts.
- Closed case in 1 1⁄2 years.
