Fallen Wyoming coal giants tangled in high-finance feud
Two fallen Wyoming coal giants are caught at the center of a a high-stakes feud between global business mavens and regulators, leaving miners and municipalities to scramble for what they’re owed.
McKinsey & Company — a multi-billion dollar “big three” business consulting titan — stands accused of failing to disclose conflicts of interest in its bankruptcy work for coal companies Alpha Natural Resources and Westmoreland Coal Company.
The founder of a rival consultancy has alleged that while one arm of the firm shepherded Alpha and Westmoreland through Chapter 11, other branches advised clients who snapped up the wounded coal companies’ assets — opening concerns of self-dealing that may have led to millions in profits for McKinsey and its customers.
On April 18, judges approved a deal between McKinsey and the Justice Department to settle the cases. McKinsey will pay $5 million in each case, along with $5 million in a third bankruptcy unrelated to Wyoming coal.
Read more: https://www.wyofile.com/fallen-wyoming-coal-giants-tangled-in-high-finance-feud/