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NE Opco Inc., the largest closely held envelope maker in North America, reached a settlement with creditors and lenders that will allow for a consensual ride through the bankruptcy process, Bloomberg News reported on Friday. The envelope maker was set to seek court approval at a hearing on Friday to obtain access to the final $7.5 million of a $67.5 million bankruptcy loan. Instead, the company announced that it had reached an agreement on how the bankruptcy will proceed, gaining the support of the official unsecured creditors committee. NE Opco will return to court on July 19 to seek approval of the settlement and final amount of financing.

Microelectronics company Endicott Interconnect Technologies Inc., which was spun off from International Business Machines Corp. (IBM) in 2002, filed for chapter 11 protection on Wednesday and plans to sell its assets, Dow Jones Newswires reported yesterday. In court documents, Endicott said that competition from foreign manufacturers and reduced federal spending as a result of sequestration have caused revenues to fall drastically since 2009. The Endicott, N.Y.-based company designs and produces printed circuit boards and advanced flip chip and wire bond semiconductor packages for clients that include IBM, Cisco Systems Inc., Northrop Grumman Corp. and the U.S. Department of Defense. Endicott Interconnect projects revenue in 2013 will be less than $100 million, compared to a high of $414 million in 2008, according to court documents.

Bankruptcy Judge Shelley C. Chapman has granted shipping company STX Pan Ocean Co. chapter 15 protection from creditors, a key ruling in the South Korean firm's bid to reorganize it business, Dow Jones Daily Bankruptcy Review reported today. Judge Chapman's decision recognizes STX's South Korean bankruptcy case as the main, or controlling proceeding, and extends key U.S. bankruptcy protections to the company's business operations. Those protections include the extension of the automatic stay to STX's fleet of 371 company-owned vessels.

Bankruptcy Judge Robert Drain ordered mediation between creditors of defunct hedge fund manager Bayou Group LLC and Goldman Sachs Group Inc. in their longstanding fight over $20.7 million, Dow Jones Daily Bankruptcy Review reported today. In an order signed on Monday, Judge Drain sent the two sides to mediation over the money, which Goldman was ordered to pay in June 2010 after an arbitration loss.

Five Mile Capital Partners LLC is accusing MSR Hotels & Resorts Inc. of using its chapter 11 case to shield its directors from possible liability for their alleged misconduct and wants an independent trustee to take charge of the company, Dow Jones reported yesterday. Five Mile, an investment firm, said that last week millions of dollars are on the line in connection with the legal claims against MSR's directors, which include breach of fiduciary duty, and it wants the company to pursue them. However, Five Mile said MSR's management has decided not to pursue the litigation, which Five Mile said is a clear conflict of interest. The investment firm said that is why it is asking a bankruptcy judge to remove MSR from chapter 11 protection and move it into chapter 7 liquidation. In chapter 7, an independent bankruptcy trustee would take charge of MSR and could evaluate whether to pursue the legal claims, which the company disputes.

After posting a string of annual losses and defaulting on loan and lease payments, Tootie Pie filed for bankruptcy last week, the San Antonio Express-News reported today. On Friday, the board of directors of Tootie Pie Co. Inc. ousted CEO Don Merrill Jr. and replaced him with Leslie Doss, one of the company's early investors and an economics professor at the University of Texas at San Antonio. In an emergency hearing Friday, Tootie Pie sought a $50,000 loan from two members of its board in order to pay its employees. A bankruptcy judge allowed the loan over objections from the company's main creditor, TCA Global Credit Master Fund. Overall, the pie company listed nearly $1 million in debts, with assets less than $50,000.

The manufacturer of Hoover and Dirt Devil brand vacuum cleaners was the winning bidder for rival Oreck in a bankruptcy auction on Monday, offering at least $24.4 million to outbid members of the Oreck family, Reuters reported yesterday. The bankrupt pioneer of the upright vacuum went on the auction block with an opening bid that included about $14.5 million in cash from a group led by Tom Oreck, a former chief executive of the company founded by his father. The total value of Tom Oreck's bid, which included various assumed liabilities, was estimated in court documents at about $22 million. The details of the winning bid will be made public before a hearing to approve the sale, which is scheduled for July 16.

The owner of the Miami Beach mansion that was once home to Gianni Versace placed the luxury property in bankruptcy protection last week to head off a foreclosure attempt, the Wall Street Journal reported yesterday. Casa Casuarina LLC’s chapter 11 filing on July 1 blocked the foreclosure attempt by mortgage holder VM South Beach LLC, which is owned by the family that created the Jordache Jeans brand. The filing also thwarted VM South Beach’s bid for a receiver to take over the Ocean Drive property, although VM South Beach immediately sought an independent bankruptcy trustee.

A JPMorgan Chase & Co. unit’s $100 million settlement with MF Global Inc. liquidators won court approval, paving the way for the return of more money to the failed brokerage’s former customers, Bloomberg News reported yesterday. The agreement will allocate $100 million for the return of customer property, according to an order entered yesterday in bankruptcy court. The agreement resolves claims against JPMorgan arising from transfers of customer property in the days before MF Global entered bankruptcy, as well as its actions as one of the brokerage’s primary banks.

Hoku Corp., which promised to become one of Eastern Idaho's largest employers with a proposed $700 million plant in Pocatello, has gone bankrupt, Boise Today reported on Friday. In May, 2012, Hoku halted construction of its Pocatello facility and laid off 100 employees after struggling to even pay its electric bill to Idaho Power. Hoku has filed for bankruptcy in Pocatello federal court, reporting nearly $1 billion in red ink. More than 30 separate entities have been listed as creditors. A meeting between the creditors and the bankruptcy trustee, R. Sam Hopkins of Pocatello, is slated for Wednesday, July 31.