Citibank Objects to Howrey Plan to Pay Nearly $500K in Bonuses
Citibank has filed an objection in bankruptcy court to Howrey’s plan to pay nearly $500,000 in bonuses to workers helping wind down the law firm’s operations.
Howrey is seeking to pay about 20 staffers up to 50 percent of their annual salaries in bonuses, reports Thomson Reuters News & Insight. The firm says bonuses will give employees an incentive to meet goals and will help retain them until the dissolution is complete.
Citibank, a secured creditor that is owed about $49 million, says Howrey has not demonstrated the bonuses are needed.
ABAJournal.com: “Howrey Seeks to Convert Bankruptcy to Chapter 11”