Will McKinsey Finally Have to Reveal More Hedge Fund Connections?

A new U.S. Trustee memo on disclosure says third party investments should be disclosed by potential bankruptcy advisors.

(Bigstock photo)

(Bigstock photo)

As global consultancy McKinsey and retired turnaround pro Jay Alix move closer to a February trial over McKinsey’s disclosures surrounding its potential bankruptcy advisory work with Westmoreland Coal, the Justice Department has stepped into the fray.

Last week, the U.S. Trustee of the Justice Department set forth new principles on such disclosures that would likely mandate more information from McKinsey on investments made by its outside hedge fund managers — as Alix, the founder of McKinsey rival AlixPartners, has sought.


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