Much Of That Overhead Was Law Firm And Claim Administration Expenses.
In a May 7, 2021 article in The Orange County Register, KQED News has reported that 90% the funds from a trust set up to compensate victims in the Camp/Paradise fires, in its first year of operations, was spent on overhead, including attorneys, project managers, analysts, claim reviewers, and software developers. This trust was set up in the PG&E bankruptcy case. A former California State Bar governor has been quoted that these charges are excessive compared to the meager compensation paid to the victims and that the trust has not been completely transparent about what it is doing for this money. The trust paid out $7 million to victims while racking up $51 million in overhead according to the Register article.
