A hearing on Hostess's liquidation request is scheduled for Monday morning.
One study found that mutual funds holding illiquid assets were more likely to suffer investor redemptions because of bad performance than were funds holding liquid assets.From runs to fire sales"Collective attempts at liquidation to meet withdrawal requests would lead to ruinous fire sales," write Stephen Cecchetti of Brandeis University and Kim Schoenholtz of New York University.
Earlier this month, UK Coal was forced to deny claims that it was seeking voluntary liquidation after HM Revenue & Customs turned down a request for a delayed tax payment.
Dan Cohen, the company's third chief executive, said in a statement that financial difficulties had left the company no option but to file for liquidation in a district court and to request the appointment of a provisional receiver "to find the best way to minimize the damage to its employees, customers and creditors".
Meanwhile, a federal bankruptcy judge overseeing the liquidation of Mr. Madoff's brokerage firm granted a request from the trustee in the case, Irving Picard, for broad power to subpoena witnesses and gather documents as part of Mr. Picard's investigation of the alleged fraud scheme.
The government should probably heed G.M.'s request, if only to avoid a disorderly liquidation and a stampede of job losses in an economically vulnerable time.
Geffner said he expects many funds will need to liquidate positions over the next 12 months, based on requests for guidance his firm has received, but added that he does not expect forced liquidations that will take place over a day or week.
Following service of the final notice by the ICO on the company, and at the request of HMRC, Direct Assist has gone into liquidation and the ICO said it will register as an unsecured creditor to try to obtain the fine.
Officials from the Petersen museum did not immediately respond to requests for comment regarding the museum's direction after the liquidation of part of its fleet.
Mr. Picard was named bankruptcy trustee at the request of the Securities Investor Protection Corporation, the federal agency that oversees the liquidation of failed brokerage firms.
