Woodbridge Liquidation Trust

Woodbridge Liquidation Trust (OTC: WBQNL) is a Delaware statutory trust formed on February 15, 2019 — the effective date of the First Amended Joint Chapter 11 Plan of Liquidation of Woodbridge Group of Companies, LLC and its affiliated debtor entities — whose formation was confirmed by the United States Bankruptcy Court for the District of Delaware by order dated October 26, 2018. The Trust was established for the purpose of collecting, administering, distributing, and liquidating trust assets for the benefit of the trust beneficiaries (creditors and interest holders of the Woodbridge Group bankruptcy estate) in accordance with the Liquidation Trust Agreement and the confirmed Chapter 11 plan. The Woodbridge Group bankruptcy was a significant financial fraud case involving Robert Shapiro and the Woodbridge Group of Companies, which operated a Ponzi scheme that raised approximately $1.3 billion from over 8,400 investors nationwide through the fraudulent sale of unregistered securities, primarily in the form of first position commercial mortgage loans secured by Shapiro-owned real estate properties.<br><br>The Trust's Registration Statement on Form 10 became effective on December 24, 2019, making the Trust a registered reporting entity under the Securities Exchange Act of 1934. Class A Interests in the Trust are quoted on the OTC Link Alternative Trading System under the ticker symbol WBQNL, providing interest holders with a marketplace to buy and sell their beneficial interests in the Trust while the Trust prosecutes its asset recovery and claims resolution activities. The Trust's functions include pursuing causes of action against responsible parties, litigating and resolving claims filed against the Woodbridge debtors, paying allowed administrative and priority claims (including professional fees), receiving cash from asset sales and recoveries, and making distributions to interest holders after reserving for Trust expenses and outstanding obligations. Trust distributions are made as assets are liquidated and claims are resolved, resulting in periodic cash distributions to Class A Interest holders as the Trust's work progresses.<br><br>Woodbridge Liquidation Trust files periodic reports with the Securities and Exchange Commission, including Form 10-K annual reports and Form 10-Q quarterly reports, disclosing the Trust's asset values, claims status, litigation activities, and distribution history. As of its most recent public disclosures, the Trust reported approximately $38.6 million in net assets, reflecting the cumulative effect of asset sales, litigation recoveries, professional fee payments, and prior distributions to interest holders since the Trust's formation. The Trust's public reporting and OTC-traded Class A Interests represent a distinctive model of bankruptcy post-reorganization entity — one that provides former investors in a fraud scheme with ongoing transparency into the recovery and distribution process through the same public company disclosure infrastructure that governed the public equity markets from which they originally sought to invest.