U.S. Bankruptcy Court Judge Ralph B. Kirscher ruled Tuesday that Credit Suisse’s secured claim to $232 million of the remaining $310 million loan balance to the Yellowstone Club would be “subordinated” to the claims of tradesmen, vendors and other unsecured creditors in the case.
“The only plausible explanation for Credit Suisse’s actions is that it was simply driven by the fees it was extracting from the loans it was selling, and letting the chips fall where they may.”
That’s going to leave a mark and will likely have Credit Suisse rubbing their ass for awhile at the end of the line. Way to go Kirscher!
