The New York Post is reporting iHM filed papers in a Texas courthouse against Singer’s Elliott Management, claiming the distressed debt investor bought credit default swaps as it was planning, with other debt holders, to file a March 7 notice of default.
“I would not want to be Elliott right now,” an iHeart creditor told The Post. “It certainly looks bad.”
iHeart has asked the court to look into the allegations concerning Elliott’s conduct.
Meanwhile, the same San Antonio court on Monday will decide whether to grant the highly leveraged iHeart a permanent injunction against the creditors’ notice of default.