Rcs Capital Corporation (fka RCAPQ)

[cents2ks]

http://www.investmentnews.com/article/20170310/FREE/170319999/investors-accuse-nicholas-schorsch-of-plundering-rcap-for-own-gain

The Creditor Trust website is here:
https://cases.primeclerk.com/RCSCreditorTrust/

Trust Pursues Claims against Schorsch and ARC Parties Seeking to Recover Damages for Trust Beneficiaries.

On March 8, 2017, the RCS Creditor Trust filed a complaint in the Delaware Chancery Court against Nicholas Schorsch and certain of his colleagues (including Edward Weil, Jr., William Kahane, Peter Budko, Brian Block and Louisa Quarto), as well as certain entities owned and/or controlled by Schorsch and his colleagues, including RCAP Holdings LLC and AR Capital LLC. The complaint seeks to recover damages for the benefit of holders of General Unsecured Claims against certain of the RCS Debtors (and, to the extent applicable, holders of Second Lien Deficiency Claims) resulting from a scheme by Schorsch and his colleagues to exploit their control of RCS to benefit their wholly owned fund management business. The Complaint asserts claims for (i) breach of fiduciary duty, (ii) aiding and abetting breach of fiduciary duty, and (iii) unjust enrichment and constructive trust. A copy of the complaint is available here:
https://cases.primeclerk.com/RCSCreditorTrust/Home-DownloadPDF?id1=NTY3MjI4&id2=0

Law 360 article on the action:
https://www.law360.com/articles/900312/schorsch-others-sued-over-1-4b-rcs-capital-ch-11