Judge approves GST plan after creditors agree payment deal
30/04/2018
In February, a group of secured lenders appeared to have won the right to acquire GST AutoLeather, which filed for bankruptcy protection in October 2017. It has taken until now for the different groups of companies owed money by GST to reach agreement on payment of some of the debt.
Unsecured creditors, which include a number of companies in the upstream leather supply chain, have agreed to share an initial sum of around $1.5 million from the proceeds of the sale of the group.
At a hearing on April 25, bankruptcy judge Laurie Selber Silverstein said she was happy to confirm the plan to complete the sale of GST AutoLeather because of it had suppport from each creditor group.
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