iCap: Maximum Investor Recovery in Ponzi Scheme Chapter 11
Turning Chaos into Coordinated Recovery
iCap, a Washington-based real estate investment firm, faced allegations of operating a Ponzi scheme, owing more than $250 million to 1,800 investors. To stabilize the situation and restore confidence, the court appointed Lance Miller of Pivot Group as Chief Restructuring Officer (CRO) to lead a structured liquidation process. Pivot’s mandate focused on securing assets, establishing transparency, and maximizing recovery for investors.
Action:
- Immediate Control: Secured iCap’s assets and froze suspicious transactions to protect creditor interests.
- Forensic Investigation: Conducted in-depth investigation, uncovering fund misallocation, and built trust by sharing findings with creditors.
- Joint Liquidation Plan: Collaborated with creditors to form the iCap Trust, designed to streamline recoveries and management of assets.
Results:
- Secured confirmation of a joint liquidation plan with broad stakeholder support.
- Established the iCap Trust to enable efficient, accelerated asset recoveries.
- Leveraged forensic findings and court recognition of the Ponzi scheme to strengthen legal actions.
- Protected investor claims through proactive litigation across multiple lawsuits.
Pivot > Team:
Lance Miller
Managing Partner
Peter Elkin
Partner
Stan Ho
Managing Director
Mike Lang
Senior Director
Liz Gonzalez
Director
Austin Singer
Director
Mike Lang
Senior Director
Sarah Rohr
Director