Synapse Trustee Details New Challenges in Latest Status Report

It’s one step up and two steps back in the case of Synapse Financial’s bankruptcy, with the court-appointed trustee reporting progress Friday (June 21) in recovering and distributing customer funds. However, serious reconciliation challenges remain, according to the latest status report in the case. Trustee Jelena McWilliams told the Central California Bankruptcy Court that partner banks have distributed most funds held in demand deposit accounts (DDAs) to end users. However, reconciling and returning funds held in more complex “for benefit …