Bankruptcy Trustees Sue Over Chasen Cos. Yacht Spending

Attorneys allege the Baltimore firm funneled $2 million into personal yacht expenses during a period of financial decline.

Updated on Oct. 28, 2026 in Financial Crime

Bold flat-color editorial illustration showing a stylized mooring bollard, representing the maritime financial litigation. — Bankruptcy trustees are suing Chasen Cos. to recover $2 million allegedly spent on personal yacht expenses while the firm faced financial collapse. AI Illustration. Upload story photo >

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Bankruptcy trustees have filed eight lawsuits in Maryland alleging that Chasen Cos. spent over $2 million of company funds on personal yacht maintenance and charters. The litigation seeks to claw back these payments from Florida-based management companies for the benefit of the firm's bankruptcy estate.

Why it matters

The lawsuits claim these funds were diverted to enrich business leaders and support extravagant lifestyles while the company was failing. This effort aims to recover assets for creditors following the firm's involuntary entry into Chapter 11 bankruptcy.

Trustees filed eight separate lawsuits in U.S. Bankruptcy Court in Maryland to recover funds from Florida-based service providers. The litigation targets payments made between 2022 and 2024.

The players

Chasen Cos.

This Baltimore-based development firm was once a prominent owner of approximately 2,000 rental units before entering bankruptcy.

Brandon Chasen

The former leader of the firm filed for personal Chapter 7 bankruptcy following the collapse of his business.

The details

The firm allegedly used business accounts to maintain five yachts, including vessels named Alexandra Jane and Princess Lona. Trustees now argue that these transfers were intentional efforts to hinder, delay, or defraud creditors.

Between 2022 and 2024, the yacht expenses were allegedly incurred.
In 2025, creditors forced Chasen Cos. into involuntary bankruptcy.
On October 28, 2026, the bankruptcy trustee filed the eight lawsuits.

Legal Context

This action follows the pattern set by the 2008 bankruptcy of Lehman Brothers by prioritizing the clawback of funds diverted from the firm's bankruptcy estate. Such litigation serves to challenge the shielding of personal assets within complex corporate insolvency proceedings.

The litigation highlights the significant collapse of a firm that once managed roughly 2,000 rental units in the Baltimore area. Residents and local stakeholders are now watching the bankruptcy process to see how the recovery of these assets might impact the firm's outstanding obligations.

The takeaway

These legal actions serve as a reminder of the heightened scrutiny placed on corporate spending during bankruptcy proceedings. Creditors and investors often look to such clawback efforts as a primary mechanism for recouping lost value from insolvent firms.