Celsius creditors are ready to get familiar with the company's reorganization plan.
Celsius' motion to extend the deadline for its reorganization plan was objected.
The objection filed on February 8th by the United States Trustee and Celsius borrowers as well as the uncensored creditors' committee and Withhold account holders.
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The entities involved in Celsius’ bankruptcy case objected to crypto lenders’ plans to extend the company's reorganization plan deadline from February 15th to March 31st.
The unsecured committee of creditors noted that Celsius users are tired of waiting to access their funds. Thus, bankruptcy proceedings must move “towards a resolution.”
Many account holders’ lives and finances have been upended because of the past conduct of the Debtors and certain of their former directors and officers.
On top of that, US Trustee and Celsius borrowers urged the company to present its restructuring plan as the whole bankruptcy case was “consuming enormous amounts of professional fees.” Moreover, borrowers emphasized that the costs do not even guarantee that any resolution will be reached.
In the objection, Withhold account holders expressed their frustration by stating:
Enough is enough. It is time to allow the Debtors’ customers to propose their own plan for the assets that they were defrauded into investing with Celsius. The Debtors’ exclusive right to control these cases must give way to the rights of the Debtors’ customers.
It is worth noting that Celsius halted customer withdrawals in June 2022 and filed for bankruptcy a month later. In November 2022, Celsius filed a motion asking to extend the deadline for its restructuring plan. At the beginning of December, the court approved the company's request and granted a new deadline of February 15th, 2023.
