Approved Ch. 11 Trust Targets Execs, Firm For Fraud Claims: Howard Ehrenberg Featured in Law360

In an ongoing bankruptcy scandal, health care industry servicer Constellation Healthcare Technologies Inc. filed for bankruptcy after former CEO Parmjit Parmar allegedly falsified company records and created fake acquisitions to inflate the company’s value. In the Law360 article, “Approved Ch. 11 Trust Targets Execs, Firm For Fraud Claims,” Member Howard Ehrenberg, who is serving as litigation trustee in the case, discussed Constellation’s bankruptcy proceedings and investigations against the former CEO.

Constellation’s Chapter 11 plan was approved by a federal bankruptcy judge, allowing the company to liquidate and continue pursuing litigation against its former CEO and other executives for allegedly contributing to the fraud. The ex-managers said they are victims of a complex fraudulent scheme.

Ehrenberg said he hopes to recover as much as possible for the benefit of the victims. “I will be investigating many different threads and making the determination whether any of those are worth pursuing further. I would venture to guess that at least some of them will be,” he commented.

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