Street Calls of the Week
Investing.com -- The U.S. Department of Justice has launched an investigation into the collapse of bankrupt auto parts supplier First Brands Group, according to a report from the Financial Times, citing people familiar with the matter.
The probe, which is being conducted by the U.S. attorney’s office for the Southern District of New York, aims to examine how investors and creditors potentially face billions of dollars in losses following the company’s failure.
Federal prosecutors in Manhattan, a unit known for handling major white-collar cases, are leading the investigation. Sources described the inquiry as being in its earliest stages and characterized it as a "fact-finding mission."
The investigation comes less than two weeks after First Brands Group filed for bankruptcy protection. Many details about the company’s financial situation remain unclear at this point.
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