WELCOME TO THE WOODBRIDGE UNITHOLDERS’ WEBSITE
This website has been created by the Ad Hoc Group of Woodbridge Unitholders to provide information to holders of Units in the Woodbridge Mortgage Investors Funds and the Woodbridge Commercial Bridge Loan Funds.
* * * * *
IMPORTANT UNIT HOLDER UPDATES
Timing of Plan Effective Date
On December 4, 2018, Woodbridge filed a Notice Regarding Timing Of Plan Effective Date, notifying Noteholder, Unitholders and other creditors that the anticipated effective date of the Plan and first cash distribution to creditors will be during the first quarter of 2019. Please read the Notice of Timing of Plan Effective Date that has been uploaded to the Important Documents portion of this website.
SEC-Robert Shapiro Settlement
Press reports regarding the recent settlement between the Securities and Exchange Commission (SEC) and Robert Shapiro have created a great deal of confusion. While the underlying settlement provides for the Court to order Robert Shapiro to pay in excess of $100MM for disgorgement, prejudgment interest, and a civil penalty, the Debtors, the Official Committee of Unsecured Creditors, the Noteholder Committee, and the Unitholder Committee have no reason to believe that Mr. Shapiro has the ability or intention to make the Court-ordered payments. To the knowledge of the Debtors and the committees, no amounts have been escrowed by Mr. Shapiro for payment of the settlement and no specific property has been identified for satisfaction of the settlement.
The Debtors and the committees are not a party to the settlement between the SEC and Mr. Shapiro and the Debtors have fully reserved all rights against Mr. Shapiro under their Plan.
Chapter 11 Plan Confirmed
On October 24, 2018, the Bankruptcy Court held hearings to consider confirmation of the Woodbridge Amended Chapter 11 Plan. The voting indicated overwhelming support for the Plan, and, on October 26, 2018, the Court CONFIRMED the Woodbridge Amended Chapter 11 Plan. In its decision, the Court included, among other things, a finding that the Woodbridge Debtors operated as a massive Ponzi scheme. A copy of the Court’s Opinion on Confirmation may be accessed in the Important Documents section of this website.
* * * * *
Informational Conference Calls: The Garden City Group has put an audio recording of the 9/27 Unitholder Conference Call on the homepage of its website. To access the recording, please click here: Garden City Group. Scroll down to the section called “Notice of Investor Conference Calls” and click where indicted.
Counsel to the various committees in these cases have scheduled conference calls for Unitholders to discuss the Debtors’ Plan and the voting process. A Notice of the dates, times and telephone numbers for these conference calls has been filed with the Bankruptcy Court and is being mailed to all Unitholders. A copy of the Notice has been added to the Important Documents section of this website. The conference calls will be “listen only.” If a Unitholder would like to ask a question, he/she may do so by submitting an inquiry using the Contact tab at the top of this website and identifying themselves by name. Counsel will attempt to answer as many submitted questions as time permits.
IRA / 401k / Custodial account unitholders: Unitholders have seen delays in receiving ballots from custodians. Some delay is normal, as custodians received ballot packages the week of September 10, 2018. Unitholders concerned about being able to meet the October 8, 2018 ballot deadline, and whose notes are held in an IRA, 401k or other custodial account, may mail their ballots in directly, rather than having to mail ballots to their custodian for mailing in. Unitholders who have not received their ballot may request a replacement by emailing WGCInfo@choosegcg.com. Unitholders may use their personal addresses on their ballots rather than the custodian’s address if they wish.
* * * * *
THE PLAN: ON JULY 9, 2018, THE WOODBRIDGE GROUP OF COMPANIES LLC AND ITS AFFILIATED DEBTORS (THE “DEBTORS”) FILED A JOINT CHAPTER 11 PLAN OF LIQUIDATION (THE “PLAN”) AND A DISCLOSURE STATEMENT REGARDING THE PLAN. ON AUGUST 22, 2018, THE BANKRUPTCY COURT APPROVED THE DEBTORS’ DISCLOSURE STATEMENT AND, THEREAFTER, THE DISCLOSURE STATEMENT, PLAN, BALLOTS AND RELATED MATERIALS WERE MAILED TO UNITHOLDERS. YOU MAY ACCESS THE PLAN AND THE DISCLOSURE STATEMENT ON THE CLAIMS AGENT’S WEBSITE SET FORTH BELOW.
* * * * *
General Case Information: On December 4, 2017, more than 270 Woodbridge Group entities filed chapter 11 bankruptcy cases in the United States Bankruptcy Court for the District of Delaware. Subsequently, additional affiliates owning real property assets filed chapter 11 cases, and all the Woodbridge chapter 11 cases are being jointly administered under Case No. 17-12560 before Bankruptcy Judge Kevin J. Carey.
The Debtor Companies are being managed in bankruptcy by a new, independent 3-person board of managers (the “New Board”). The Woodbridge debtors have retained the law firms of Klee, Tuchin, Bogdanoff & Stern LLP, Young, Conaway, Stargatt & Taylor LLP and Gibson, Dunn & Crutcher LLP as bankruptcy counsel. The official claims agent in these cases is the Garden City Group, LLC.
The Unitholders’ Group was formed on January 23, 2018 pursuant to a Bankruptcy Court Order (the “Formation Order”). A copy of the Formation Order can be found in the Document section of this website. The official volunteer members of the Unitholders’ Group are Dr. Raymond Blackburn and Dr. Chris Pinney, and the law firm appointed by the Bankruptcy Court to advise the Unitholders’ Group is Venable LLP (Jeffrey S. Sabin, Esq., Andrew J. Currie, Esq. and Jamie L. Edmonson, Esq.).
For the Unitholders’ information and convenience, this website includes links to the Delaware Bankruptcy Court and the Garden City Group’s websites. It also contains important documents that have been filed in the bankruptcy cases, a description of important events that have occurred and issues that have arisen in these cases, including the filing of a the Debtors’ Joint Chapter 11 Plan of Liquidation, frequently asked questions (FAQ’s) about the bankruptcy process, and a secure platform to provide the Unitholders’ Group’s lawyers with your contact information. If you wish to contact Venable LLP, please feel free to send an email by visiting the Contact Venable page of this website.
Fund Bankruptcy Case Numbers: Though these debtor cases are consolidated under one bankruptcy case number for administrative purposes, there may be instances in which Unitholders will need the case number of the individual Fund Debtor in which they purchased their Units. For your convenience, the following is a list of the bankruptcy case numbers for each individual Fund Debtor:
Woodbridge Commercial Bridge Loan Fund 1 LLC 17-12754
Woodbridge Commercial Bridge Loan Fund 2 LLC 17-12758
Woodbridge Mortgage Investment Fund 1 LLC 17-12768
Woodbridge Mortgage Investment Fund 2 LLC 17-12772
Woodbridge Mortgage Investment Fund 3 LLC 17-12776
Woodbridge Mortgage Investment Fund 3A LLC 17-12780
Woodbridge Mortgage Investment Fund 4 LLC. 17-12784
This website is for informational purposes only and does not purport to provide individual legal advice to any Unitholder. Venable LLP represents the Unitholders’ Group in these cases, and neither the Unitholders’ Group nor Venable LLP can provide legal advice to individual Unitholders. You are encouraged to contact your own lawyer and/or financial advisor for individual legal advice concerning these cases.