NEW YORK, March 15 (Reuters) - The liquidating trustee of bankrupt consulting firm BearingPoint Inc has sued Yale University, claiming the company’s deal to sponsor a prestigious MBA program never should have happened.
The liquidating trustee, John DeGroote Services LLC, contends in a lawsuit that BearingPoint has gained no tangible benefit from committing to pay $30 million to name buildings and endow a professorship at the Ivy League school.
The money was to have been paid over seven years starting in the first quarter 2007. BearingPoint filed for bankruptcy in February 2009.
“No material consideration flowed to BearingPoint, and no benefit to its business or assets was derived from the endowing of chairs or the naming of buildings at Yale,” according to the suit filed on Friday in U.S. Bankruptcy Court in Manhattan.
A Yale University spokesman declined to comment.
According to the lawsuit, BearingPoint paid $2 million to fully fund in perpetuity an endowed chair: a professorship at the Yale School of Management.
The case is In re BearingPoint, Inc., et al, 09-10691, U.S. Bankruptcy Court, Southern District of New York.
(Additional reporting by Santosh Nadgir in Bangalore)
Reporting by John Parry; Editing by Phil Berlowitz
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