💥New Chapter 11 Bankruptcy - Global Benefits Group Inc.💥

On June 18, NJ-based Global Benefits Group Inc. and two affiliates (the “debtors”) filed bankruptcy cases under Subchapter V of chapter 11 in the District of New Jersey (Judge Gravelle). The debtors service insurance policies for non-debtor parent GBG Insurance Limited (“GIL”). GIL is based in Guernsey, as is its parent GBGI Limited (“GBGI”). “The Debtors’ corporate structure is complicated,” debtors’ general counsel Howard Ehrlich admits in his first-day declaration, “with many affiliated and subsidiary companies incorporated across the globe.” GIL, Ehrlich adds, historically had no employees of its own: “Rather, it operated as part of an integrated group (of which the Debtors were a part) of entities internationally but was reliant on the Debtors and other members of the GBG Group to carry out its operational functions.”