>>61064395
I believe that you're arguing somewhat of a straw man.
The issue isn't if shares in former BedButtAndBeyond are cancelled: they are cancelled. You're right about that. As far as I know, those exact shares, once cancelled, cannot be restored through any legal mechanism that exists, even if fraud is proven. But that's not the salient issue here.
The real issue is if former shareholders still have Interest in the estate based on the absolute priority rule. And that is unquestionably true. If the estate, through all of the lawsuits of board members/suppliers/etc, manages to recover enough cash to pay the lower classes of creditors, Class 9 creditors (shareholders) would receive a payout.
Will that happen? Based on the typical history of bankruptcies, probably not. It's exceedingly rare.
But the fraud in BedBonerAndBeyond was so unquestionably real that it lends itself well to theories about a possible recovery. On top of that, Ryan Cohen's involvement here, Overstock becoming BBBY out of nowhere (with their history of hating shorts) lends itself very well to even more tinfoil theories.
