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Self-Admission – Zombie Claims

At the last creditors meeting, the Trustee announced he would be allowing “Self-admission” claims. These are the claims in which the debtor (the trustee) admits to without the creditor making a claim.

Our lawyer has been told there are an estimated 75,000 such claims. Many are worth just a few dollars. But in total, he has been told their value is around 10-20% of all claims filed under bankruptcy.¬† Our group’s best calculation based on the data we have collected puts the figure at 13%.

Assuming that the value of claims under CR is the same as under bankruptcy, Self Admission will reduce payouts to BTC claimants by 13%.

Self Admission claims that go unclaimed by their intended recipient will be diverted to the Japanese state after a period of time. They will not revert to the pool of assets for creditors.

We believe this is an inefficient way of extending the deadline for victims of the Mt Gox bankruptcy to file a claim, as many claims which will never be claimed will be diverted to the Japanese government. We as a group have asked our lawyer to investigate ways to oppose the trustee allowing self-admission claims. To this end, he is working with other creditors’ lawyers, as well as co-operating with the relevant court officials and trustee lawyers.