An independent trustee has been appointed to manage the business operations of TelexFree Financial, LLC; TelexFree, LLC; and TelexFree, Inc. (collectively, “TelexFree”), the consortium of entities currently accused by state and federal regulators of operating a massive pyramid/Ponzi scheme that raised hundreds of millions of dollars from victims. Stephen B. Darr’s appointment as Chapter 11 Trustee was made public in a filing by the Assistant U.S. Trustee in a Massachusetts bankruptcy where the TelexFree bankruptcy is currently pending. In connection with his appointment, Darr’s bond was set at $1 million.
Darr is a principal of Mesirow Financial Consulting, LLC, an independent financial services firm that provides a wide array of corporate services, including restructuring, management, and consulting. Darr currently works out of Mesirow’s Boston office, where he serves as the Senior Managing Director. Darr has significant experience in providing financial advisory services to complex restructuring matters, including past engagements with well-known failed companies RefCo and WorldCom.