NEW YORK, June 28 (Reuters) - Buchanan Ingersoll & Rooney has agreed to pay $60 million to settle claims stemming from its representation of the bankrupt Adelphia Communications Corp.

The proposed settlement would include $20 million for the Adelphia Recovery Trust, which is pursuing claims on behalf of creditors in bankruptcy court. Another $40 million would be divided between the trust and investors who brought separate lawsuits following a binding mediation.

"Agreeing to settle the matter allows us to focus on our clients and our goals," Tracie Gliozzi, a spokeswoman for Buchanan Ingersoll, said in a statement. "We are pleased to put this behind us."

Buchanan Ingersoll, the primary legal counsel to Adelphia, was one of several advisers and banks that were engulfed in litigation following the failure of Adelphia, which filed for bankruptcy in 2002 amid an accounting scandal.

The recovery trust held off on suing Buchanan Ingersoll after the firm in 2004 agreed to toll the statute of limitations. The firm also faced several lawsuits that accused the firm of assisting in the preparation and dissemination of false and misleading information about Adelphia to investors.

The money adds to the pile collected by the Adelphia Recovery Trust to date. Deloitte & Touche agreed to a $167.5 million settlement in 2007. More than 20 banks agreed to a $175 million settlement in 2010.

The settlement with Buchanan is subject to the approval of U.S. Bankruptcy Judge Robert Gerber in Manhattan. The trust said Wednesday that if the settlement is approved it would seek "a substantial portion, if not all," of the $40 million to be divided between it and litigants in investor litigation.

It is not clear how many investors will apply to compete for that money in the mediation.

(Reporting by Nate Raymond)

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