Dispute Advisory and Forensic Services for Attorneys and Legal Professionals

A financial institution discovered that an individual debtor, who seemed to have lost the ability to meet their obligations due to the 2008 economic crisis, retained control of real estate assets that had significant value after the crisis subsided.

The client consulted Cendrowski Corporate Advisors to provide dispute advisory and forensic services. Our team analyzed the debtor’s disclosures in personal and business financial statements and income tax returns, identifying transactions between the debtor and the debtor’s affiliates and investigating the economic circumstances underlying the transactions.

The debtor and their affiliates were involved in direct and indirect transactions with third parties that suggested values different than values attributed to those assets during the transfers among affiliates. Based on our team’s summary, counsel demonstrated that the debtor had rearranged direct ownership of valuable assets without divesting control of those assets. We worked with counsel to develop a straightforward exhibit displaying the timeline of events that illustrated the financial story behind the affiliated transfers.

The exhibit created by Cendrowski Corporate Advisors allowed the bank to negotiate a favorable settlement of the obligations with the debtor.