KIRKLAND & ELLIS & PACHULSKI STANG ZIEHL & JONES ANNOUNCE NOTICE OF Combined hearing in the Chapter 11 bankruptcy cases of GST AUTOLEATHER, INC., et al to consider confirmation of the chapter 11 plan and adequacy of the disclosure statement filed by the debtors and related voting and objection deadlines. BACKGROUND The Debtors in these chapter 11 cases, along with the last four digits of each Debtor’s federal tax identification number, include: GST AutoLeather, Inc. (5289); GST AutoLeather Cayman I Ltd. (n/a); GST AutoLeather Cayman II Ltd. (n/a); GST AutoLeather HoldCo Corp. (4266); GST Innovations, LLC (5563); and Strategic Financial LLC (n/a). Collectively, these companies are referred to in this notice as the “Debtors.” Debtors’ chapter 11 cases are pending as Case No. 17-12100 (LSS) in the United States Bankruptcy Court for the District of Delaware (the “Court”). The location of the Debtors’ service address is: 20 Oak Hollow Drive, […]

NOTICE OF Deadlines FOR the FILING of (i) PROOFS OF CLAIM, including Requests for Payment pursuant to section 503(b)(9) of the Bankruptcy Code, (ii) administrative claims, and (iii) rejection damages claims THE CLAIMS BAR DATE IS January 23, 2018 THE GOVERNMENTAL CLAIMS BAR DATE IS April 2, 2018 THE ADMINISTRATIVE CLAIMS BAR DATE IS January 23, 2018 PLEASE TAKE NOTICE OF THE FOLLOWING: Deadlines for Filing Proofs of Claim and Administrative Claims Arising Prior to the Administrative Claim Deadline. On January 18, 2017, the United States Bankruptcy Court for the District of Delaware (the “Court”) entered an order [Docket No. 355] (the “Bar Date Order”) establishing certain dates by which parties holding prepetition claims against the Debtors must file (a) proofs of claim (“Proofs of Claim”), including claims by governmental units, claims arising under section 503(b)(9) of the Bankruptcy Code, and Rejection Damages Claims, and (b) requests for payment of Administrative Claims (as defined […]

Ponzi Schemes at NAFER 2017 The NAFER 2017 Annual Conference featured a number of different speakers and panels, with the keynote presentation coming from Travis Correll, a convicted Ponzi schemer and master of a $100 million scheme. Also involved were SEC enforcement counsel Marshall Gandy, the federal equity receiver on the case (NAFER’s president, Greg Hays), and the receiver’s counsel David Dantzler. Travis Correll – Tale of a Fraud Mr. Correll traced the development of the fraud: His faith in an exotic investment vehicle. His solicitation of a few hundred thousand […]

RALLY CAPITAL SERVICES ANNOUNCES RETURN OF BIDS SALE OF YOUNG’S APPLIANCES, INC., OF GLEN ELLYN, IL   1. Summary:  On Friday, September 15, 2017 Howard B. Samuels, not individually, but solely as Assignee for the Benefit of Creditors (the “Assignee” or the “Seller”) of Young’s Appliances, Inc. (“Young’s” or the “Business”), intends to sell his right, title and interest in and to substantially all tangible and intangible assets (the “Assets”).   2. Background:  On September 6, 2017, Howard B. Samuels, not individually but solely as Assignee for the Benefit of Creditors of the Debtor, received and accepted an Asset Purchase Agreement (“APA”) for the Assignee’s right, title and interest in and to certain Assets of the Company’s tangible and intangible operating assets and rights of any and every kind, used or usable in the Company’s business, subject to all liens, claims and encumbrances of record, as a single lot as […]

There is a seeming irony here in that a company that files for bankruptcy often does not have the cash to do so. That’s where DIP financing comes in.

This series was started with a broad overview of business bankruptcy, but our last few installments have focused on: unsecured creditors the priority scheme in bankruptcy protecting/collecting your claim In this installment, we draw on our discussion of the priority scheme, with a special focus on super and residual priorities. As previously discussed, not all claims are treated the same.  At its foundation, claims can be divided into two general buckets—secured and unsecured.  If there is collateral securing the claim, it is secured.  If not, it’s unsecured.  However, Congress decided […]

Assignee’s Return of Bids Sale GENERAL LOOSE LEAF BINDERY CO., INC. 3811 HAWTHORN CT. WAUKEGAN, IL 60087 SALE OF ASSETS:  On Wednesday, May 10, 2017 Howard B. Samuels, not individually, but solely as Assignee for the Benefit of Creditors (the “Assignee” or the “Seller”) of General Loose Leaf Bindery Co., Inc. (“General Loose Leaf” or the “Company”), intends to sell his right, title and interest in and to certain tangible and intangible assets (the “Assets”).  The Assets being sold include but are not limited to certain machinery, equipment, furniture and fixtures; All contracts and contract rights which will be updated at and as of the Closing Date subject to Buyer’s sole discretion; All governmental authorizations and all pending applications thereof, in each case to the extent transferable; All of Company’s financial records which shall include all books and records relating to Company and its business, files and databases, customer lists […]

This series was started (click here to read from the beginning) with a broad overview of business bankruptcy but our last few installments have focused on unsecured creditors (click here to read about unsecured creditors) and the priority scheme in bankruptcy (click here for the 30,000-foot view or you can find more specific treatment here, here and here). In this installment, we move on to the nuts and bolts of filing, preserving and protecting your claim in bankruptcy. A. File Proof of Claims and Adhere to Bar Dates to Protect Your Claim Of all bankruptcy […]

NOTICE OF ASSIGNEE SALE RAINBOW BOOKS, INC.   NOTICE IS HEREBY GIVEN that March 22, 2017 at 10:00 a.m., at the office of Frontline Real Estate Partners, LLC, 477 Elm Place, Highland Park, IL 60035, Joshua E. Joseph, not individually, but solely as Trustee-Assignee for the Benefit of Creditors (the “Assignee”) of Rainbow Books, Inc. (“Rainbow”) intends to sell his right, title and interest in and to certain of the assets, as described below, of Rainbow Books, Inc. (the “Auction”).   ASSETS TO BE SOLD AT AUCTION:At the Auction, the Assignee intends to offer for sale, all of the Assignee’s right, title and interest in and to specified inventory, specified tangible personal property including access to the server housing the Software, all tradeshow and marketing items, tradenames, records, intangible property including, but not limited to, software, software licenses, webhosting agreement, new orders and goodwill and other assets as set forth […]

HOWARD B. SAMUELS, AS ASSIGNEE FOR THE BENEFIT OF CREDITORS OF GOURMET GRAM INT., INC. D/B/A LOBSTER GRAM INTERNATIONAL, INC. ANNOUNCES PUBLIC AUCTION OF ALL OF LOBSTER GRAM’S RIGHT, TITLE AND INTEREST IN AND TO ALL OF ITS ASSETS   Howard B. Samuels, not individually, but solely as Assignee for the Benefit of Creditors (the “Assignee“) of Gourmet Gram Int., Inc. d/b/a Lobster Gram International, Inc. (“Lobster Gram”), shall hold a public auction (“Auction”) in accordance with Illinois common law to offer for sale all of Lobster Gram’s right, title and interest in and to all of its assets.   The assets for sale consist of all of Lobster Gram’s right, title and interest in and to all of its assets whether tangible or intangible, real or personal or mixed, owned or lease (including indirect and other forms of beneficial interest) wherever located and by whomever possessed including but not […]