T he recent—and unexpected—rejection by a U.S. Bankruptcy Court of the modified plan of reorganization of Washington Mutual, Inc. (“WaMu”)2 on the ground of a “colorable claim” of insider trading has raised questions about the standards of conduct for members of ad hoc creditors committees during corporate reorganizations.3 In WaMu, Judge Mary F.
USA, Delaware, Capital Markets, Insolvency & Restructuring, Litigation, Richards Kibbe & Orbe LLP, Insider trading, Federal Deposit Insurance Corporation (USA)