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The Wall Street Publication > Blog > Business > Elizabeth Warren Floats Expanded Powers for Bankruptcy Creditors Against Private Equity
Business

Elizabeth Warren Floats Expanded Powers for Bankruptcy Creditors Against Private Equity

Editorial Board Published October 20, 2021
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Elizabeth Warren Floats Expanded Powers for Bankruptcy Creditors Against Private Equity
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Sen. Elizabeth Warren (D., Mass.) has proposed a new measure that would empower creditors in chapter 11 cases to pursue allegations of self-dealing by private-equity owners, rights that currently lie with corporate directors selected by those investment firms.

The senator introduced a revised version of her Stop Wall Street Looting Act on Wednesday, modifying a two-year-old proposal to rein in the private-equity industry and including fresh provisions targeting perceived abuses of the chapter 11 system by investment firms

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