To allow the ailing lender more time to restructure its operations after dropping asset prices had an impact on its operations earlier this month, Singapore’s Vauld Group is requesting a moratorium against its creditors. The Wall Street Journal reported Wednesday that Vauld requested a moratorium order in a Singaporean court on July 8. The moratorium would give the troubled lender more time to find a suitable restructuring strategy if approved. The Journal claimed that while the moratorium helps the company avoid total shutdown, a Singaporean moratorium order is comparable to Chapter 11 bankruptcy in the United States. Vauld Group Seeks Moratorium to Prepare for Restructuring To allow management “the breathing room it requires to prepare for the envisaged restructuring for the benefit of all stakeholders,” Vauld announced on July 11 that it would seek a moratorium order. The application for the moratorium, as the Journal noted, was submitted three days earlier. Due to unfavorable market conditions, Vauld ceased deposits, withdrawals, and trading on July 4. This ended a tumultuous three-week period during which users attempted to withdraw approximately $198 million from the site. Vauld’s CEO, Darshan Bathija, revealed that his organization would be laying off 30% of its workforce while Vauld is experiencing a run on assets. We've taken the painful decision to reduce Vauld's headcount by about 30% More information: https://t.co/...
