Schulte Roth Bags Cambridge Analytica Bankruptcy Work
SCL USA Inc., the parent company of embattled political consultancy Cambridge Analytica, filed for Chapter 7 protection Thursday in New York.
May 18, 2018 at 03:03 PM
3 minute read
A pedestrian passes a set of labels listing the occupants in the building that houses the offices of Cambridge Analytica in London on March 20, 2018. Privacy watchdogs from the U.K. and European Union are plotting their next steps in the wake of a scandal involving the data analytics company, which is accused of harvesting Facebook user profiles in its work for Donald Trump's presidential campaign. (Simon Dawson/Bloomberg)
Cambridge Analytica LLC has filed for bankruptcy in New York, two months after a data sharing scandal involving the political consultancy and social media giant Facebook Inc. began making headlines.
SCL USA Inc., the New York-based parent company of Cambridge Analytica, filed for Chapter 7 dissolution late Thursday. Adam Harris, chair of the business reorganization group at Schulte Roth & Zabel in New York, has grabbed the lead role advising Cambridge Analytica and SCL in Bankruptcy Court.
Schulte Roth said in court papers that it had received $30,000 from Emerdata Ltd., a London-based data company formed by executives of SCL, in order to proceed with the dissolution of the debtors. Cambridge Analytica and U.K. parent company SCL Elections Ltd. had announced earlier this month a plan to wind down their businesses in U.S. Bankruptcy Court and administration proceedings in the U.K. British accounting firm Crowe Clark Whitehill, an affiliate of Crowe Horwath International, is handling U.K. insolvency work for Cambridge Analytica.
Neither SCL nor Cambridge Analytica have filed a detailed list of their largest unsecured creditors with the Bankruptcy Court in downtown Manhattan. A creditor matrix filed in the Chapter 7 case for both entities includes Greenberg Traurig, Washington; D.C.'s Grossberg, Yochelson, Fox & Beyda; Milbank, Tweed, Hadley & McCloy; and White & Case. Sean Richardson, a former corporate associate at Milbank, serves as head of legal at Cambridge Analytica in New York. The company has been hit with a wave of litigation following revelations that it accessed Facebook user information ahead of the 2016 U.S. presidential election.
Greenberg Traurig recently parted ways with Rudolph Giuliani as a result of controversial comments the former New York City mayor has made in his defense of President Donald Trump. Giuliani, who first took a leave of absence from the firm last month, had seen his previous firm, the former Bracewell & Giuliani, advise Cambridge Analytica on its obligations under U.S. campaign law, according to an April report by Politico.
Squire Patton Boggs and British firm Gunnercooke have also previously done work for Cambridge Analytica, which struggled to cope with revelations that it improperly obtained the data of 87 million Facebook users starting in 2014. Facebook, which has turned to Gibson, Dunn & Crutcher for outside counsel in the fallout from those disclosures, could also find itself drawn into the Chapter 7 case filed by SCL and Cambridge Analytica, according to a report earlier this month by sibling publication the New York Law Journal.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View All![Saul Ewing Loses Two Partners to Fox Rothschild, Marking Four Fla. Partner Exits in Last 13 Months Saul Ewing Loses Two Partners to Fox Rothschild, Marking Four Fla. Partner Exits in Last 13 Months](https://images.law.com/cdn-cgi/image/format=auto,fit=contain/https://k2-prod-alm.s3.us-east-1.amazonaws.com/brightspot/70/63/50b038604196ba08df26dc76c61e/zemel-poppe-767x633.jpg)
Saul Ewing Loses Two Partners to Fox Rothschild, Marking Four Fla. Partner Exits in Last 13 Months
3 minute read![Willkie Adds Five-Lawyer Team From Quinn Emanuel in Germany Willkie Adds Five-Lawyer Team From Quinn Emanuel in Germany](https://images.law.com/cdn-cgi/image/format=auto,fit=contain/https://k2-prod-alm.s3.us-east-1.amazonaws.com/brightspot/fa/c2/5b8749a84b7eb919caed3ca3d306/quinn-emanuel-urquhart-sullivan-office-sign-washington-13-767x633.jpg)
Willkie Adds Five-Lawyer Team From Quinn Emanuel in Germany
![Dentons Taps D.C. Capital Markets Attorney for New US Managing Partner Dentons Taps D.C. Capital Markets Attorney for New US Managing Partner](https://images.law.com/cdn-cgi/image/format=auto,fit=contain/https://k2-prod-alm.s3.us-east-1.amazonaws.com/brightspot/c2/3b/fc680d534cae8de0ae61b39f2b77/john-holahan-767x633.jpg)
Dentons Taps D.C. Capital Markets Attorney for New US Managing Partner
![Exceptional Growth Becoming the Rule? Demand Drove Strong Year for Big Law Exceptional Growth Becoming the Rule? Demand Drove Strong Year for Big Law](https://images.law.com/cdn-cgi/image/format=auto,fit=contain/https://k2-prod-alm.s3.us-east-1.amazonaws.com/brightspot/ec/95/704b5aa843afb16a569eee6f6512/lifting-economic-767x633.jpg)
Exceptional Growth Becoming the Rule? Demand Drove Strong Year for Big Law
Trending Stories
- 1ACC CLO Survey Waves Warning Flags for Boards
- 2States Accuse Trump of Thwarting Court's Funding Restoration Order
- 3Microsoft Becomes Latest Tech Company to Face Claims of Stealing Marketing Commissions From Influencers
- 4Coral Gables Attorney Busted for Stalking Lawyer
- 5Trump's DOJ Delays Releasing Jan. 6 FBI Agents List Under Consent Order
Who Got The Work
J. Brugh Lower of Gibbons has entered an appearance for industrial equipment supplier Devco Corporation in a pending trademark infringement lawsuit. The suit, accusing the defendant of selling knock-off Graco products, was filed Dec. 18 in New Jersey District Court by Rivkin Radler on behalf of Graco Inc. and Graco Minnesota. The case, assigned to U.S. District Judge Zahid N. Quraishi, is 3:24-cv-11294, Graco Inc. et al v. Devco Corporation.
Who Got The Work
Rebecca Maller-Stein and Kent A. Yalowitz of Arnold & Porter Kaye Scholer have entered their appearances for Hanaco Venture Capital and its executives, Lior Prosor and David Frankel, in a pending securities lawsuit. The action, filed on Dec. 24 in New York Southern District Court by Zell, Aron & Co. on behalf of Goldeneye Advisors, accuses the defendants of negligently and fraudulently managing the plaintiff's $1 million investment. The case, assigned to U.S. District Judge Vernon S. Broderick, is 1:24-cv-09918, Goldeneye Advisors, LLC v. Hanaco Venture Capital, Ltd. et al.
Who Got The Work
Attorneys from A&O Shearman has stepped in as defense counsel for Toronto-Dominion Bank and other defendants in a pending securities class action. The suit, filed Dec. 11 in New York Southern District Court by Bleichmar Fonti & Auld, accuses the defendants of concealing the bank's 'pervasive' deficiencies in regards to its compliance with the Bank Secrecy Act and the quality of its anti-money laundering controls. The case, assigned to U.S. District Judge Arun Subramanian, is 1:24-cv-09445, Gonzalez v. The Toronto-Dominion Bank et al.
Who Got The Work
Crown Castle International, a Pennsylvania company providing shared communications infrastructure, has turned to Luke D. Wolf of Gordon Rees Scully Mansukhani to fend off a pending breach-of-contract lawsuit. The court action, filed Nov. 25 in Michigan Eastern District Court by Hooper Hathaway PC on behalf of The Town Residences LLC, accuses Crown Castle of failing to transfer approximately $30,000 in utility payments from T-Mobile in breach of a roof-top lease and assignment agreement. The case, assigned to U.S. District Judge Susan K. Declercq, is 2:24-cv-13131, The Town Residences LLC v. T-Mobile US, Inc. et al.
Who Got The Work
Wilfred P. Coronato and Daniel M. Schwartz of McCarter & English have stepped in as defense counsel to Electrolux Home Products Inc. in a pending product liability lawsuit. The court action, filed Nov. 26 in New York Eastern District Court by Poulos Lopiccolo PC and Nagel Rice LLP on behalf of David Stern, alleges that the defendant's refrigerators’ drawers and shelving repeatedly break and fall apart within months after purchase. The case, assigned to U.S. District Judge Joan M. Azrack, is 2:24-cv-08204, Stern v. Electrolux Home Products, Inc.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250