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style='mso-bidi-font-size:10.0pt'>Senate Republicans Expected to
Press Forward
with
Bankruptcy
Legislation
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style='mso-bidi-font-size:10.0pt'>Senate Republicans are expected this
week to
press forward
with
a plan
for
moving
major bankruptcy
reform legislation,
according
to
CongressDaily.
It
appeared late
last
week
that
Senate
leaders may
seek
to attach
the
bankruptcy
measure to
a
freestanding
bill, the
Violence Against
Women Act
(VAWA), rather
than
an appropriations
bill.
However,
sources remained
skeptical
that
the plan
would be successful
due
to Senate
Democratic
and
White
House opposition
to
the latest
version of
the
legislation.
class=MsoNormal
style='mso-layout-grid-align:none;text-autospace:none'>Safelite
AutoGlass
Emerges from
Chapter 11
Safelite Glass
Corp. announced
that
its reorganization
plan
became
effective
on
Friday,
marking the
company's
official emergence
from
its chapter
11
proceeding,
according
to a
newswire
report. The
Columbus,
Ohio-based
company filed
for
chapter
11
on June
9.
The
company's
plan
had been
approved by
more
than
95
percent
of
its creditors
and
was confirmed
on
Sept. 12
by
the U.
S.
Bankruptcy
Court in Delaware.
style='mso-spacerun: yes'> As part of the company's financial
restructuring,
a
new Board
of
Directors
has
also been
announced.
style='mso-spacerun: yes'> Safelite Glass Corp. is the leader in
the $3.2
billion auto
glass repair
and
replacement
industry.
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class=MsoNormal>America’s
CyberHighway
Subsidiary
Suffers Involuntary
Bankruptcy
USURF America
Inc., a provider
of
Fixed-Wireless
Internet access
products,
yesterday
announced
that
three
alleged creditors
of
its ISP
subsidiary,
CyberHighway,
filed an involuntary
bankruptcy
proceeding
against CyberHighway
on
Sept. 29
in
the Idaho
Federal Bankruptcy
Court, according
to a
newswire
report.
The
business and
operations
of
USURF America
and
CyberHighway
will
continue
unchanged,
and
the Baton
Rouge, La.-based
company will
seek
the dismissal
of
the petition
immediately.
USURF
America's
investment
banker, Gruntal
& Co.
LLC,
has indicated
that
the actions
taken against
CyberHighway
do
not, in
any
way, lessen
its
commitment
to
USURF America
and
that it
will
continue
its
efforts
to
locate
capital for
USURF America's
Fixed-Wireless
Internet access
business expansion.
Allied
Products Corp
Files Chapter
11
Allied Products
Corp. (ADP)
yesterday
announced
that
it filed
a
voluntary
petition for
chapter 11,
according
to a
newswire
report.
style='mso-spacerun: yes'> In conjunction with the filing it
has received
a
commitment
for
up to
about $4.5
million in
debtor-in-possession
(DIP) financing
from
General
Motors Corp.
(GM)
to fund
Allied Products'
operation
and
enable
it
to pay
its
post-petition
trade and
employee obligations.
The
company said
the
funding
should allow
its
Verson
division to
continue to
work
on key
contracts
during the
restructuring
process.
Allied
Products,
which is based
in
Chicago,
makes metal
forming presses.
class=MsoNormal>American
Realty Trust
and
American
Realty Investors
Transactions
Close
EQK
Realty Investors
I
(EQK) yesterday
announced
that
the previously
announced
transactions
with
American
Realty Investors
Inc.
(ARI)
and
American
Realty Trust
Inc.
(ART)
have
closed,
according
to a
newswire
report.
Pursuant
to
those transactions,
the
Atlanta-based
EQK
received
$1,125,000
in
cash and
125,000 shares
of
ARI Series
A
Preferred
Stock of ARI
with
a stated
value of $10.00
per
share,
both
of which
will
be distributed
to
EQK's creditors.
EQK
issued
an
aggregate
of
7.5 million
shares of
beneficial
interest to
ARI
and ART
in
these transactions.
As a
result
of
the cancellation
of
all of
its
previously
outstanding
shares pursuant
to
EQK's modified
amended reorganization
plan, which
became effective
yesterday,
ARI
and ART
are
now the
sole
shareholders
of
EQK.
style='mso-spacerun: yes'> The Harrisburg East Mall has been
transferred
to
The Prudential
Insurance
Company of
America, which
was
the successful
bidder with
a
credit bid
of
$30 million
at
the auction.
class=MsoNormal>Lawyer
Sentenced
for
Mail Fraud
in
Bankruptcy
Case
A
lawyer who
formerly lived
in
Great Barrington,
Mass. was
sentenced
yesterday
for
mail fraud
involving
a
scheme to
defraud the
U.S.
Bankruptcy
Court and
a
bankruptcy
debtor by
filing false
and
fraudulent
affidavits,
according
to a
newswire
report.
Kirk
Whitaker Jones
was
sentenced
by
U.S. District
Court Judge
Nathaniel
M.
Gorton
to
three years
of
probation,
the
first
six
months
of
which are
to
be served
in
home confinement
with
an electronic
ankle bracelet,
and
a $10,000
fine.
Jones' crimes
involved filing
false affidavits
with
the U.S.
Bankruptcy
Court in Worcester,
Mass.
He
represented
a
client in
a
civil case
seeking money
damages against
an
individual.
That
same
individual
filed for
bankruptcy,
and
Jones
missed an
important
filing deadline
in
the bankruptcy
case. In order to remedy his mistake, help his client reinstate
his claim
and
avoid
a
legal malpractice
suit
against
himself, Jones
filed affidavits
in
the bankruptcy
case
that
made
false
and
fraudulent
assertions
about a conversation
with
Jones’
client that
never occurred.
Jones even
forged his
client's signature
to
an affidavit
after his
client had
already died.
class=MsoNormal>Dickinson
Theatres File
for
Bankruptcy
Dickinson
Theatres,
an
80-year-old
Mission, Kansas-based
movie exhibition
company and
one-time operator
of
the Glenwood
Theatre, yesterday
filed chapter
11,
according
to
the Kansas
City
Star.
On
July
31, Dickinson
had
assets
of
$58 million
and
liabilities
of
$42 million.
The
company's
attorney,
Paul
M. Hoffmann
of
Morrison
& Hecker,
characterized
the
need to
file
as a
cash-flow
problem, not
a
cash problem.
At
this
time
it
is our
intent to
pay
all of
our
creditors
in
full —
we
are not
asking the
court to discharge
any
debt owed
by
the company,"
Hoffman said.
Dickinson
Theatres’
largest secured
creditor is
Mission Bank,
which is owed
$10.6 million.
style='mso-spacerun: yes'> Mission Bank has agreed to provide up
to $1
million for
Dickinson
as
it continues
to
operate
while reorganizing.
