November 5, 2018, Southern District of New York – SIPA Trustee Irving Picard and his counsel at Baker Hostetler filed their 28th Interim Fee Application with the United States Bankruptcy Court for the Southern District of New York for their work on the global liquidation of BLMIS from April 1, 2018, through July 31, 2018.
The application seeks approval of fees, representing approximately 81,526.10 hours of professional and paraprofessional services, which were billed at an average, public interest discounted rate of approximately $417.98 per hour. The public interest discount applied represents a reduction of 10 percent from standard rates and it resulted in a total voluntary reduction during the four-month compensation period of approximately $3,786,262.68. Additionally, the SIPA Trustee and BakerHostetler voluntarily adjusted their fees by writing off $2,195,885.20 (not including the 10% public interest discount) and wrote off expenses customarily charged to other clients in the amount of $338,818.81.
After applying the public interest discount, the total fees requested for the period were $34,076,364.12 (of which $30,668,727.72 is to be paid currently and $3,407,636.40 is to be held back through the conclusion of the liquidation period or until further order by the Court). In addition, $505,031.47 was requested as reimbursement of the actual necessary costs and expenses incurred by the SIPA Trustee and BakerHostetler in connection with the recovery effort.