SquareTwo Plan Faces More Scrutiny

A federal bankruptcy watchdog has become the latest regulator to challenge the proposed reorganization plan of debt collector SquareTwo Financial Services Corp. which would eliminate its consumer liability. U.S. Trustee William Harrington filed an objection Thursday that takes aim at provisions in the proposed chapter 11 plan that would release officers and directors of SquareTwo from potential liability arising from federal and state consumer protection laws.