With high-profile Ponzi scheme cases such as Bernie Madoff and Scott Rothstein being front-page news for several years now, the public has grown accustomed to court-appointed fiduciaries, such as bankruptcy trustees and receivers. But there is another type of court-appointed fiduciary that is less known but equally effective these days—the corporate monitor.
So what is a corporate monitor? Sallah Astarita & Cox, LLC partner James Sallah, and his co-authors address the question in this article from the Daily Business Review. Mr. Sallah has been appointed by various courts as a receiver, as well as a corporate monitor.
The article explains that like a receiver and trustee, a corporate monitor is a lawyer, accountant or other disinterested professional appointed by the court as a neutral third party over something. However, unlike a receiver or trustee who typically has expansive powers (and thus potentially more costs), a corporate monitor traditionally performs a specific set of functions or has a single-purpose duty.
For more information - Board Of Contributors: Corporate Monitors Keep Status Quo During Crises | Daily Business Review
