Promise to Return Assets
From The Troubled Company Reporter
February 14, 2008
The Honorable Martin Glenn of the United States Bankruptcy Court for the Southern District of New York denied Edward Okun's efforts to back out of his promise to return personal assets to creditors of 1031 Tax Group, LLC, Bill Rochelle of Bloomberg News reports.
According to Bloomberg, Judge Glenn found "as a matter of fact, that the financial statement Mr. Okun submitted was false."
As reported in the Troubled Company Reporter on Feb. 5, 2008, Gerard A. McHale, Jr., the Chapter 11 trustee appointed to oversee the bankrupt estate, sued Mr. Okun early in January for failure to turn over a Bentley automobile, a Rolls-Royce, a Porche 911, a Lamborghini and other property worth more than $600,000 in the aggregate.
Headquartered in Richmond, Virginia, The 1031 Tax Group LLC is a privately held consolidated group of qualified intermediaries created to service real property exchanges under Section 1031 of the Internal Revenue Code. The company and 15 of its affiliates filed for Chapter 11 protection on May 14, 2007 (Bankr. S.D.N.Y. Case No. 07-11447 through 07-11462). Paul Traub, Esq., Norman N. Kinel, Esq., and Steven E. Fox, Esq., at Dreier LLP, represent the Debtors in their restructuring efforts. The Debtors selected Kurtzman Carson Consultants LLC as their claims agent. Thomas J. Weber, Esq., Melanie L. Cyganowski, Esq., and Allen G. Kadish, Esq., at Greenberg Traurig, LLP, represent the Official Committee of Unsecured Creditors. As of Sept. 30, 2007, the Debtors had total assets of $164,231,012 and total liabilities of $168,126,294, resulting in a total stockholders' deficit of $3,895,282.
Gerard A. McHale, Jr., was appointed as the Debtors' Chapter 11 trustee on Oct. 25, 2007. Jonathan L. Flaxer, Esq., at Golenbock Eiseman Assor Bell & Peskoe LLP, represents Mr. McHale. Michael C. Markham, Esq., and Angelina E. Lim, Esq., at Johnson Pope Bokor Ruppel & Burns LLP, in Clearwater, Florida, serve as the Chapter 11 Trustee's co-counsel.
February 14, 2008
The Honorable Martin Glenn of the United States Bankruptcy Court for the Southern District of New York denied Edward Okun's efforts to back out of his promise to return personal assets to creditors of 1031 Tax Group, LLC, Bill Rochelle of Bloomberg News reports.
According to Bloomberg, Judge Glenn found "as a matter of fact, that the financial statement Mr. Okun submitted was false."
As reported in the Troubled Company Reporter on Feb. 5, 2008, Gerard A. McHale, Jr., the Chapter 11 trustee appointed to oversee the bankrupt estate, sued Mr. Okun early in January for failure to turn over a Bentley automobile, a Rolls-Royce, a Porche 911, a Lamborghini and other property worth more than $600,000 in the aggregate.
Headquartered in Richmond, Virginia, The 1031 Tax Group LLC is a privately held consolidated group of qualified intermediaries created to service real property exchanges under Section 1031 of the Internal Revenue Code. The company and 15 of its affiliates filed for Chapter 11 protection on May 14, 2007 (Bankr. S.D.N.Y. Case No. 07-11447 through 07-11462). Paul Traub, Esq., Norman N. Kinel, Esq., and Steven E. Fox, Esq., at Dreier LLP, represent the Debtors in their restructuring efforts. The Debtors selected Kurtzman Carson Consultants LLC as their claims agent. Thomas J. Weber, Esq., Melanie L. Cyganowski, Esq., and Allen G. Kadish, Esq., at Greenberg Traurig, LLP, represent the Official Committee of Unsecured Creditors. As of Sept. 30, 2007, the Debtors had total assets of $164,231,012 and total liabilities of $168,126,294, resulting in a total stockholders' deficit of $3,895,282.
Gerard A. McHale, Jr., was appointed as the Debtors' Chapter 11 trustee on Oct. 25, 2007. Jonathan L. Flaxer, Esq., at Golenbock Eiseman Assor Bell & Peskoe LLP, represents Mr. McHale. Michael C. Markham, Esq., and Angelina E. Lim, Esq., at Johnson Pope Bokor Ruppel & Burns LLP, in Clearwater, Florida, serve as the Chapter 11 Trustee's co-counsel.
