| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers M > Headlines for Marco Polo Seatrade BV > News item |
Marco Polo eyes stipulation agreement approval with shipping companies
By Lisa Kerner
Charlotte, N.C., March 23 - Marco Polo Seatrade BV and the debtors in possession asked the court to approve a stipulation agreement with Magellano Marine CV, Banksy Shipping Co. Ltd., Indiana R. Shipping Co., Ltd. and Top Ships Inc., according to a March 23 filing with the U.S. Bankruptcy Court for the Southern District of New York.
Under the agreement, Marco Polo will receive about $4.8 million from an account held by Dutch company Futmarine BV, which is 50% owned by Marco Polo.
Also, Banksy Shipping Co. Ltd., Indiana R. Shipping Co., Ltd. and Top Ships Inc., will have a fixed and allowed general unsecured claim against Marco Polo and Magellano for $16 million.
As previously reported, in January Marco Polo and Magellano sought the avoidance of an ex parte prejudgment attachment lien that deprived the debtors of access to nearly $5 million of unencumbered cash and the equitable disallowance of any claims asserted by Banksy or Indiana.
As an alternative to the disallowance of claims, the debtors sought equitable subordination of those claims.
Basis of the litigation
Futmarine agreed to sell three shipbuilding contracts to a third party for $9.74 million under the terms of the debtors' restructuring agreement.
Banksy and Indiana sought the attachment of Marco Polo's shares in Futmarine, blocking the debtors from accessing cash to fund settlements reached with other vessel owners.
With the Futmarine attachment as collateral, Banksy and Indiana sought to elevate their unsecured claims into secured claims and interrupted the sale of the vessel M/T Laura in July 2011.
Marco Polo Seatrade, an Amsterdam-based vessel owner, filed for bankruptcy on July 29. The Chapter 11 case number is 11-13634.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.