TCR_Public/150107.mbx          T R O U B L E D   C O M P A N Y   R E P O R T E R

              Wednesday, January 7, 2015, Vol. 19, No. 7

                            Headlines

1910 PARTNERS: Case Summary & 15 Largest Unsecured Creditors
ALICEVILLE GOVERNMENTAL: S&P Lowers Rating on 2011 Bonds to 'CCC-'
ALLSTATE FINANCIAL: Case Summary & 2 Top Unsecured Creditors
AMERICAHOMEKEY INC: Court Rules on Summary Judgment Bids
BAYOU SHORES: Medicaid Says Nursing Home's Plan Isn't Feasible

BELLMARK RECORDS: Cir. Ct. Affirms Verdict in Rap Song Rights Suit
BLUE STAR PROPERTIES: Files for Chapter 11 Bankruptcy
CAESARS ENTERTAINMENT: Facing Trial on Receiver Appointment
CANTERA COURT COMPLEX: Voluntary Chapter 11 Case Summary
CHAM RESTAURANT: Files for Chapter 11 Bankruptcy Protection

COLDWATER CREEK: Asks to Sell Its Piece of $6B Swipe Fee Deal
COMMUNITY BANK: 11th Circ. Says Cases Void Insurance Exclusion
COUNTRYWIDE FIN'L: Mortgage Misdeeds Whistle-Blower to Get $57MM
CRS HOLDING: Converts Ch. 11 Case to Ch. 7 Liquidation
CYCLONE POWER: Posts $1.3 Million Net Income in 3rd Quarter

DEB STORES: Gets Nod for Bankruptcy Auction Plans
DEB STORES: U.S. Trustee, Landlords Oppose Bankruptcy Sale Plans
DENDREON CORP: Proposed Incentive Plan Approved
DENDREON INC: Meeting of Creditors Continued Until Jan. 14
DERMA PENN: Ch. 11 Case for Skin Treatment Co. Thrown Out

DIOCESE OF SPOKANE: Paine Hamblen Malpractice Suit Heads to Trial
EDNEAVOUR INT'L: Court Sets January 26 as Claims Bar Date
FL 6801: Takes On Homeowners' Ch. 11 Claims
FREEDOM INDUSTRIES: Exec Says Spill Exposure DQs Prosecutors
GENERAL MOTORS: Merrill Lynch Fined $1.9M Over Debt Sales

GENERAL MOTORS: Trust Says Defect Liability Lies with New Co.
GEORGE BAVELIS: Invited Error Doctrine Overrides Non-Core Argument
GREAT NORTHERN PAPER: Has Deal Giving Maine Town Water Treatment
GREAT WESTERN: Case Summary & 6 Largest Unsecured Creditors
GT ADVANCED: Excess Assets Sale Procedures Approved

HEI INC: Proposes Fredrikson & Byron as Bankr. Counsel
HEI INC: Wants to Keep Winthrop & Weinstine as Corporate Counsel
HIGHER LIVING CHRISTIAN: Case Summary & 20 Top Unsec. Creditors
INDEX RECOVERY: Confirms Chapter 11 Liquidating Plan
INVERSIONES ALSACIA: Plan Supplement Filed

J & B RESTAURANT: Voluntary Chapter 11 Case Summary
LEHMAN BROTHERS: Trustee Seeks to Recover $98M From Wells Fargo
LILY GROUP: Gets Court Order Protecting Confidential Info
MONROE HOSPITAL: Gets Court OK to Hire J. Roche as CRO
MONTREAL MAINE: New Railroad Rebuilding Business after Disaster

MONTREAL MAINE: Rail Crash Victims Keep $3.8 Million of Insurance
NNN 1818 MARKET STREET: Schedules & Statement Due Jan. 20
NNN 1818 MARKET: Case Summary & 18 Largest Unsecured Creditors
NSB ADVISORS: Voluntary Chapter 11 Case Summary
ONE SOURCE INDUSTRIAL: Mgt. Provider Follows Parent to Bankruptcy

ONE SOURCE INDUSTRIAL: Two Debtors Seek Joint Administration
ONE SOURCE INDUSTRIAL: Wants Amegy Factoring Agreement Extended
OPEN TEXT: S&P Rates New $600MM Sr. Unsecured Notes 'BB'
PALOMBA WEINGARTEN: Firm Hit With $129M Legal Malpractice Suit
PEREGRINE FINANCIAL: US Bank Settles With CFTC

PHH CORP: Fitch Affirms Then Withdraws 'BB-' Long-term IDR
PINKBERRY MIDATLANTIC: Files for Chapter 7 Liquidation
PRETTY GIRL: Meeting of Creditors Set for Feb. 26
PUERTO RICO ELECTRIC: To Seek Extension to Bondholder Agreement
QUANTUM FOODS: Committee Seeks Approval to Settle Avoidance Claims

RADIOSHACK CORP: Kept Alive by $25 Billion of Swaps Side Bets
RIDGEFIELD CHRISTIAN: Case Summary & 2 Top Unsecured Creditors
RLJ ENTERPRISES: Case Summary & 19 Largest Unsecured Creditors
ROTHSTEIN ROSENFELDT: Trustee Cleared to Distribute $13M In Claims
SAINT MICHAEL MOTOR: Bid to Withdraw Bankruptcy Reference Nixed

SAMUEL WYLY: Judge Won't Expand $188M Judgment In Fraud Case
SAN BERNARDINO, CA: City Council Now Involved in Plan Discussions
SANDRINE'S LIMITED: Can Proceed with Jan. 28 Auction
SEARS METHODIST: Reaches Agreement With Texas Veterans Land Board
SENTINEL MANAGEMENT: Feds Seek Stiff Sentence For 'Greedy' Exec

SOURCE HOME: Gets Approval of $675,000 Warn Act Settlement
SOUTH EDGE: C&S Can't Recover From Estate, 9th Circuit Says
SOVEREIGN ASSETS: Liquidators Win U.S. Court Protection
T-L BRYWOOD: Has Access to RCG-KC's Cash Collateral Until Jan. 31
TAMRAC INC: Former Bag Maker Confirms Ch. 11 Plan of Liquidation

THQ INC: Estate Launches Avoidance Suits to Claw Back $9M
TLO LLC: Shareholders to Recover More Than $43 Million
TROPICANA ENTERTAINMENT: Judge Resolves Fee Allocation Dispute
TRUMP ENTERTAINMENT: Has Until April 7 to Remove Actions
ULTIMATE NUTRITION: U.S. Trustee Appoints Creditors' Committee

VALLEY VILLAGE: Case Summary & 7 Largest Unsecured Creditors
VARIANT HOLDING: Stipulation Reached on The Oaks' Properties
VISUALANT INC: Extends CEO Notes Due Date to March 2015
[*] BofA Sued by Credit Union Regulator for MBS Oversight
[*] Ocwen Financial Pact Compliance under Fire

[*] U.S. Agency Probes Currency Exchange Site That Vanished w/ Cash

                            *********

1910 PARTNERS: Case Summary & 15 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: 1910 Partners, a Hawaii limited partnership
        11921 Love Orchid Lane
        Las Vegas, NV 89138

Case No.: 15-00009

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       District of Hawaii (Honolulu)

Judge: Hon. Lloyd King

Debtor's Counsel: Chuck C. Choi, Esq.
                  WAGNER CHOI & VERBRUGGE
                  745 Fort Street, Suite 1900
                  Honolulu, HI 96813
                  Tel: 808-533-1877
                  Fax: 808-566-6900
                  Email: cchoi@hibklaw.com

Estimated Assets: $1 million to $10 million

Estimated Liabilities: $1 million to $10 million

The petition was signed by Bruce Stark, authorized representative.

A list of the Debtor's 15 largest unsecured creditors is available
for free at http://bankrupt.com/misc/hib15-00009.pdf


ALICEVILLE GOVERNMENTAL: S&P Lowers Rating on 2011 Bonds to 'CCC-'
------------------------------------------------------------------
Standard & Poor's Ratings Services said it lowered its rating one
notch, to 'CCC-' from 'CCC', on Aliceville Governmental Utilities
Services Corp. (GUSC), Ala.'s series 2011 bonds, issued for its
Federal Bureau of Prisons (FBOP) project.  The rating remains on
CreditWatch with negative implications.

"The current rating is based on a series of draws on the debt
service reserve fund (DSRF) in August 2013 and again in February
and August 2014, almost completely exhausting the fund," said
Standard & Poor's credit analyst Theodore Chapman.  "Absent
certainty that sufficient funds will be with the trustee by the
Feb. 1, 2015, payment date, we would likely lower the rating to no
better than 'CC', then to 'D' once a default has occurred."

Simply resolving the ongoing rate dispute between the GUSC and the
FBOP - for which the corporation issued the bonds to fund the
construction of water and sewer facilities for a federal
correctional institute near the city of Aliceville – would not
necessarily ensure enough money on hand to satisfy the upcoming
payment of approximately $193,000.  Even if ongoing revenues from
operations would be enough to satisfy the Feb. 1, 2015, payment,
S&P views the ability to make the Aug. 1, 2015 principal and
interest payment as doubtful assuming the current cash flows of the
project.

The GUSC has approximately $8.375 million in outstanding revenue
bonds related o the FBOP project.  Following the disclosed draw of
$835,079.24 from the DSRF to make the August 2014 payment, the
reserve fund has by Standard & Poor's calculation been nearly
depleted and would be insufficient by itself to meet the Feb. 1,
2015, interest payment absent sufficient ongoing revenues, likely
creating a default.  The DSRF was originally funded with bond
proceeds in the amount of maximum annual debt service, or $1.43
million.  By Standard & Poor's calculation, the DSRF's current
balance is less than $55,000.

S&P understands that ongoing discussions could address both
parties' concerns.  However, the original projections assumed that
ongoing cash from operations would be sufficient to cover all
revenue requirements, including debt service, and that revenues
plus the liquidation of the DSRF would be used to satisfy the final
payment in 2021, not to cover revenue shortfalls that began in
August 2013, followed by an additional draw in February 2014 as
well as the most recent unplanned use of the DSRF.  The trust
indenture also establishes that the DSRF be replenished, but is
silent on the maximum number of months by which the replenishment
must be completed.

The facility was constructed to help relieve systemwide
overcrowding among the federal female inmate population.  The
Aliceville location was designed to house up to 1,500
medium-security federal inmates.  Plans in early 2013 to transfer
about 1,100 inmates from a Connecticut facility to the Aliceville
site were delayed after a number of elected officials asked the
U.S. Department of Justice to reconsider the transfer.  The
Aliceville facility did not receive its first inmates (about 100)
until November 2013.  While it currently is near full capacity, the
delay led the GUSC to exercise what it deems as its rights under
the service contract to increase rates to the prison, without
limit, to generate sufficient revenues to cover operations and debt
service.  GUSC officials also could suspend service to the facility
but have not done so.  S&P understands that while the FBOP
continues to challenge the rate increase, it is making current
payments to the GUSC.  The amount being paid, however, is at the
rate the FBOP believes to be correct, not at the higher rate GUSC
is billing.

The GUSC constructed the water and sewer facilities specifically to
serve the prison.  The city of Aliceville operates and manages the
FBOP-related water and sewer utilities for the GUSC, separate and
apart from the city's own infrastructure.  The dispute does not
have any recourse to the city of Aliceville's own utility revenue
bonds, which are secured by the city's own customer base.



ALLSTATE FINANCIAL: Case Summary & 2 Top Unsecured Creditors
------------------------------------------------------------
Debtor: Allstate Financial Group, Inc.
        14241 NE Woodinville Duvall Rd., # 434
        Woodinville, WA 98072

Case No.: 15-10041

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Western District of Washington (Seattle)

Debtor's Counsel: Jacob D DeGraaff, Esq.
                  HENRY DEGRAAFF & MCCORMICK PS
                  1833 N 105th St Ste 200
                  Seattle, WA 98133
                  Tel: 206-330-0595
                  Email: mainline@hdm-legal.com

Estimated Assets: $0 to $50,000

Estimated Liabilities: $1 million to $10 million

The petition was signed by John Michael, CEO.

A list of the Debtor's 20 largest unsecured creditors is available
for free at http://bankrupt.com/misc/wawb15-10041.pdf


AMERICAHOMEKEY INC: Court Rules on Summary Judgment Bids
--------------------------------------------------------
District Judge Jane J. Boyle in Dallas, Texas (1) granted in part
and denied in part Plaintiffs Kimberly Hoffman and Patti
Pate-Schnure's Motion for Summary Judgment Against AmericaHomeKey,
Inc. and Lane Terrell; (2) denied Plaintiffs' Motion for Summary
Judgment Against Weststar Mortgage Corporation; and (3) denied
Weststar's Motion for Summary Judgment Against Plaintiffs.  The
lawsuit, KIMBERLY HOFFMAN and PATTI PATE-SCHNURE, Plaintiffs, v.
AMERICAHOMEKEY, INC., et al., Defendants, CIVIL ACTION NO.
3:12-CV-3806-B (N.D. Tex.), arises out of a dispute over certain
bonuses that AHKI allegedly owed, but failed to pay, the Plaintiffs
and the subsequent sale of AHKI's assets to Weststar.

AHKI was a financial institution that made loans to consumers who
wanted to buy houses.  AHKI made its profits by originating or
purchasing mortgage loans and then selling those mortgage loans to
buyers in the secondary market.  From the time of its inception in
2000 through its sale to Weststar in January 2012, AHKI maintained
relationships with multiple warehouse lenders, including GMAC
Mortgage and Countrywide/Bank of America.  From 2005 until 2011,
however, AHKI's primary warehouse lender was Countrywide/Bank of
America, which at one point in time funded 70% to 80% of the home
loans originated by AHKI.

A copy of the Court's Dec. 22, 2014 Memorandum Order and Opinion is
available at http://is.gd/aYm0Y3from Leagle.com.

In 2011, AHKI hired John Krugh, an attorney who had previously
handled some small legal matters for AHKI and worked as General
Counsel for Perry Homes, to prepare AHKI for going into Chapter 11
bankruptcy.  The Company later struck a deal to sell its assets to
Weststar.


BAYOU SHORES: Medicaid Says Nursing Home's Plan Isn't Feasible
--------------------------------------------------------------
Katy Stech, writing for Daily Bankruptcy Review, reported that
Medicaid regulators told a bankruptcy judge that the Rehabilitation
Center of St. Petersburg can't survive without the government
program's promise to pay for low-income patients, making the
Florida nursing home's proposed reorganization impossible.

According to the DBR report, lawyers for Medicaid formally opposed
the nursing home's reorganization plan, which describes how the
facility would repay its debts to get out of Chapter 11
protection.

As previously reported by The Troubled Company Reporter in early
December, the Florida nursing home said it can afford to repay all
of its debts but still hasn't negotiated a deal with Medicaid
regulators who have threatened to stop paying for low-income
patients to stay at the facility.

The Florida bankruptcy judge presiding over the bankruptcy case
barred regulators from using their powers to shut down
Rehabilitation Center of St. Petersburg that allegedly didn't
comply with operating standards.  The judge compelled regulators to
continue the nursing home to obtain reimbursement from Medicare and
Medicaid despite the regulators' insistence that the nursing
facility had "serious" health and safety problems.

The DBR report said the 159-bed nursing facility would continue
operating under the ownership of Miami resident Tzvi Bogomilsky,
court papers show.

                        About Bayou Shores

Bayou Shores SNF LLC, c/o Rehabilitation Center of St. Petersburg,
filed for Chapter 11 bankruptcy (Bankr. M.D. Fla. Case No. 14-
09521) on Aug. 15, 2014, in Tampa.  Elizabeth A Green, Esq., at
Baker & Hostetler LLP, serves as the Debtor's counsel.  In its
petition, the Debtor estimated assets and liabilities of $1
million to $10 million.  The petition was signed by Tzvi
Bogomilsky, managing member.


BELLMARK RECORDS: Cir. Ct. Affirms Verdict in Rap Song Rights Suit
------------------------------------------------------------------
Law360 reported that the Fifth Circuit rejected a music publisher's
contention that it deserves a new trial or judgment in a
long-running $2.1 million post-bankruptcy sale dispute over the
rights to the song "Whoomp! (There It Is)," ruling the district
court correctly nixed a new argument introduced after the trial.

According to the report, the three-judge panel found that, among
other things, the district court hadn't erred in denying a
post-trial motion for judgment as a matter of law when DM Records
Inc. argued for the first time that the court had misread the
rights assignments for the song.

The appellate panel also affirmed the district court's denial of a
new trial to DM, finding that Alvertis Isbell, who headed up two
music rights companies before filing for bankruptcy, including one
that had the rights to the hit 1993 Tag Team song, didn't wrong DM
by accusing it of stealing the rights to the song on purpose, the
report related.

As previously reported by The Troubled Company Reporter, the events
giving rise to the suit begin with business conducted
by two companies, Alvert Music and Bellmark Records, each run by
Mr. Isbell.  Bellmark was purportedly a record company, owning
sound recordings.  Alvert Music is, and has been, a music
publishing company, which owns musical compositions and not sound
recordings.

During the early 1990's, Bellmark entered into writers agreements
to obtain composition rights to the Compositions for its
affiliated publishing company, Alvert Music.  Bellmark retained
for itself the two sound recordings.  In 1997, DM Records secured
licenses from both of Mr. Isbell's companies to exploit both the
musical compositions and sound recordings.  In April of that year,
Bellmark filed a Chapter 11 bankruptcy petition, which was later
converted into a Chapter 7 petition.  In October 1999, DM
purchased the assets of Bellmark from the bankruptcy estate,
including all of Bellmark's rights in the Compositions.  Alvert
Music has not sought bankruptcy protection.  Since that time, DM
allegedly has proceeded with regard to the Compositions in a
manner inconsistent with Alvert Music's ownership rights.  In
2002, Mr. Isbell filed the lawsuit in the Northern District of
Texas.  In 2004, that court transferred the matter, and the
magistrate judge referred it to the bankruptcy court in that same
year.  In 2007, the bankruptcy court issued a report and
recommendation that the magistrate judge's referral be withdrawn,
and the undersigned judge agreed.

The case is Alvertis Bell v. DM Records Inc., case number 13-40878,
in the U.S. Court of Appeal for the Fifth Circuit.


BLUE STAR PROPERTIES: Files for Chapter 11 Bankruptcy
-----------------------------------------------------
Blue Star Properties, LLC, filed for Chapter 11 bankruptcy
protection (Bank. D. Md. Case No. 14-29602) on Dec. 30, 2014.

The Debtor disclosed $1.39 million in total assets and $1.46
million in total liabilities.  The petition was signed by William
Deavers, president.

Aaron Gregg at The Washington Post reports that the Debtor
disclosed that Ryan Epstein is the largest unsecured creditor, owed
$163,000.

Merrill Cohen, Esq., at Cohen, Baldinger & Greenfeld, LLC, serves
as the Debtor's bankruptcy counsel.  Judge Paul Mannes presides
over the case.

Blue Star is based in Prince Frederick, Maryland.


CAESARS ENTERTAINMENT: Facing Trial on Receiver Appointment
-----------------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that Caesars Entertainment Corp. faces a mid-January
trial in the Delaware Chancery Court on junior creditors' request
for appointment of a receiver, although the casino owner by then
may have filed for Chapter 11 reorganization.

According to the Bloomberg report, some creditors contend the
Delaware state court should appoint a receiver in response to
Caesars' alleged asset stripping.  First though, the Delaware judge
will hold a hearing on dismissal of the receivership action, the
Bloomberg report related.

As previously reported by The Troubled Company Reporter, citing Peg
Brickley, writing for Daily Bankruptcy Review, the Delaware
corporate law judge granted fast-track status to a lawsuit seeking
a receiver for the operating unit of Caesars Entertainment Corp.
over the protests of the company, which said the decision would
upset delicate restructuring talks.

Vice Chancellor Sam Glasscock said his decision to speed the case
along doesn't mean he is inclined to appoint a receiver for Caesars
Entertainment Operating Co., which creditors say is being looted by
its owners, a claim the company denies.  Appointment of a receiver
would have "very serious" implications for the operating company,
the largest unit of Caesars Entertainment, the judge noted at a
hearing in Delaware's Court of Chancery.

                   About Caesars Entertainment

Caesars Entertainment Corp., formerly Harrah's Entertainment Inc.
-- http://www.caesars.com/-- is one of the world's largest casino

companies.  Caesars casino resorts operate under the Caesars,
Bally's, Flamingo, Grand Casinos, Hilton and Paris brand names.
The Company has its corporate headquarters in Las Vegas.

Harrah's announced its re-branding to Caesar's in mid-November
2010.

Caesars Entertainment reported a net loss of $2.93 billion in
2013, as compared with a net loss of $1.50 billion in 2012.  The
Company's balance sheet at Sept. 30, 2014, showed $24.5 billion in
total assets, $28.20 billion in total liabilities and a
$3.71 billion total deficit.

                           *     *     *

In the April 10, 2014, edition of the TCR, Standard & Poor's
Ratings Services lowered its corporate credit ratings on Las
Vegas-based Caesars Entertainment Corp. (CEC) and wholly owned
subsidiaries, Caesars Entertainment Operating Co. (CEOC) and
Caesars Entertainment Resort Properties (CERP), as well
as the indirectly majority-owned Chester Downs and Marina, to
'CCC-' from 'CCC+'.  The downgrade reflects S&P's expectation that
Caesars' capital structure is unsustainable, and the amount of
cash the company will burn in 2014 and 2015 creates conditions
under which S&P believes a restructuring of some form is
increasingly likely over the near term absent an unanticipated
significantly favorable change in operating performance.

As reported by the TCR on May 1, 2014, Fitch Ratings had
downgraded the Issuer Default Ratings (IDRs) of Caesars
Entertainment Corp (CEC) and Caesars Entertainment
Operating Company (CEOC) to 'CC' from 'CCC'.

In May 2014, Moody's Investors Service affirmed the Caa3 corporate
family rating and Caa3-PD probability of default ratings.  The
negative rating outlook reflects Moody's view that CEOC will
pursue a debt restructuring in the next year. Ratings could be
lowered if CEOC does not take steps to address it unsustainable
capital structure. Ratings improvement is not expected unless
there is a significant reduction in CEOC's $18 billion debt load.


CANTERA COURT COMPLEX: Voluntary Chapter 11 Case Summary
--------------------------------------------------------
Debtor: Cantera Court Complex, Inc.
           dba DMW Creative Homes
        9802 McPherson Rd., Suite 136
        Laredo, TX 78045

Case No.: 15-50001

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Southern District of Texas (Laredo)

Debtor's Counsel: Carl Michael Barto, Esq.
                  LAW OFFICE OF CARL M. BARTO
                  817 Guadalupe St.
                  Laredo, TX 78040
                  Tel: 956-725-7500
                  Fax: 956-722-6739
                  Email: cmblaw@netscorp.net

Estimated Assets: $1 million to $10 million

Estimated Liabilities: $1 million to $10 million

The petition was signed by Hector Benavides, Sr., president.

The Debtor did not include a list of its largest unsecured
creditors when it filed the petition.


CHAM RESTAURANT: Files for Chapter 11 Bankruptcy Protection
-----------------------------------------------------------
Aaron Gregg at The Washington Post reports that Cham Restaurant
Group LLC filed for Chapter 11 bankruptcy protection (Bankr. D.D.C.
Case No. 14-00745) on Dec. 23, 2014, estimating assets between
$50,001 and $100,000, and liabilities between $100,001 and
$500,000.  According to the report, Martin James Yeager, Esq.,
serves as the Company's bankruptcy counsel.  The report says that
the Company didn't disclose its largest unsecured creditor. Cham
Restaurant is headquartered in Silver Spring, Maryland.


COLDWATER CREEK: Asks to Sell Its Piece of $6B Swipe Fee Deal
-------------------------------------------------------------
Law360 reported that Peter Kravitz, the liquidating trustee for the
Coldwater Creek Inc. estate, asked the Delaware bankruptcy court
for approval to sell its potential slice of the massive $6 billion
settlement that resolved antitrust claims that MasterCard Inc. and
Visa Inc. fixed prices for credit card swipe fees.

According to the report, the trustee said the estate already held
an auction in November and came to a purchase agreement with
Dunhill Asset Services V LLC to sell rights to the potential claim
for nearly $1.8 million.  Kravitz said it has not yet been
determined whether Coldwater Creek, which had its Chapter 11 plan
confirmed three months ago, would qualify as a member of the
settlement class if or when it is certified, but the liquidating
trustee believes the former women's apparel retailer may have claim
because it used Mastercard and Visa systems to process purchases,
the report related.

                      About Coldwater Creek

Coldwater Creek is a multi-channel retailer that offers its
merchandise through retail stores across the country, its catalog
and its e-commerce Web site, http://www.coldwatercreek.com/
Originally founded in Sandpoint, Idaho in 1984 as a direct,
catalog-based marketer, Coldwater evolved into a multi-channel
specialty retailer operating 334 premium retail stores, 31 factory
outlet stores and seven day spa locations throughout the United
States.

As of the bankruptcy filing, the Debtors domestically employ a
total of approximately 5,990 employees throughout their retail
locations, corporate headquarters and distribution, design and
call centers.

Coldwater Creek Inc. and its debtor-affiliates sought Chapter 11
bankruptcy protection (Bankr. D. Del. Lead Case No. 14-10867) on
April 11, 2014, to liquidate their assets.

Coldwater Creek Inc. disclosed assets of $721,468,388 plus
undetermined amount and liabilities of $425,475,739 plus
undetermined amount.  Affiliate Coldwater Creek U.S. Inc.
estimated $100 million to $500 million in assets and liabilities.

The Debtors have drawn $37.5 million and have approximately $10
million in letters of credit outstanding under a senior secured
credit facility (ABL facility) provided by lenders led by Wells
Fargo Bank, National Association, as agent.  The Debtors also owe
$96 million, which includes accrued interest and approximately $23
million representing a prepayment premium payable, under a term
loan from lenders led by CC Holding Agency Corporation, as agent.
Aside from the funded debt, the Debtors have accumulated a
significant amount of accrued and unpaid trade and other unsecured
debt in the normal course of their business.

The Debtors have tapped Young Conaway Stargatt & Taylor, LLP, and
Shearman & Sterling LLP as attorneys, Perella Weinberg Partners LP
as financial advisor, Alvarez & Marsal as restructuring advisor,
and Prime Clerk LLC as claims and noticing agent.

The U.S. Trustee for Region Three named seven creditors to serve
on the official committee of unsecured creditors.  Lowenstein
Sandler LLP represents the Committee.

CWC Liquidation Inc., formerly known as Coldwater Creek Inc., et
al., notified the Bankruptcy Court that the effective date of its
Modified Third Amended Joint Plan of Liquidation occurred on
Sept. 26, 2014.

The Troubled Company Reporter, on Dec. 29, 2014, reported that the
Bankruptcy Court entered a final decree closing the Chapter 11
cases of consolidated non-lead debtors in the cases of CWC
Liquidation Inc. formerly known as Coldwater Creek Inc, et al.


COMMUNITY BANK: 11th Circ. Says Cases Void Insurance Exclusion
--------------------------------------------------------------
Law360 reported that the Eleventh Circuit overturned a lower
court's decision that St. Paul Mercury Insurance Co. didn't owe
coverage for an underlying $15 million suit brought by the Federal
Deposit Insurance Corp., ruling that an insured v. insured
exclusion was ambiguous because courts' interpretation of similar
language has been varied.

According to the report, the panel said in a published opinion
that, under Georgia law, the exclusion was ambiguous because other
courts have reached different results when they've ruled on
similarly worded policies.  The Eleventh Circuit said that
extrinsic evidence may be necessary to determine the parties'
intent and remanded the case back to the district court, the report
related.

The report further related that the dispute stems from the January
2010 failure of Community Bank & Trust, a 36-branch community bank
in northern Georgia that suffered hundreds of bank failures in the
wake of the real estate crisis.  The Georgia Department of Banking
and Finance closed the bank and appointed the FDIC as a receiver,
the report added.

The case is St. Paul Mercury Insurance Co. v. Federal Deposit
Insurance Corp. et al., case number 13-14228, in the U.S. Court of
Appeals for the Eleventh Circuit.


COUNTRYWIDE FIN'L: Mortgage Misdeeds Whistle-Blower to Get $57MM
----------------------------------------------------------------
Matthew Goldstein, writing for The New York Times' DealBook,
reported that Edward O'Donnell, a former Countrywide Financial
executive who became a whistle-blower, is collecting more than $57
million for helping federal prosecutors force Bank of America to
pay a record $16.65 billion penalty in connection with its role in
churning out shoddy mortgage and related securities before the
financial crisis.

According to the report, Mr. O'Donnell reached an agreement with
the government that enables him to collect part of the settlement
that Bank of America agreed to pay in August in a deal with federal
prosecutors and a number of state attorneys general.  The payment
to Mr. O'Donnell arises from a federal lawsuit he filed under the
False Claims Act earlier in 2014 and which Preet Bharara, the
United States attorney for the Southern District of New York,
joined and used as the basis for pressing Bank of America to reach
a deal, the report related.

                   About Countrywide Financial

Based in Calabasas, California, Countrywide Financial Corporation
(NYSE: CFC) -- http://www.countrywide.com/-- originated,  
purchased, securitized, sold, and serviced residential and
commercial loans.

In mid-2008, Bank of America completed its purchase of Countrywide
for $2.5 billion.  The mortgage lender was originally priced at $4
billion, but the purchase price eventually was whittled down to
$2.5 billion based on BofA's stock prices that fell over 40% since
the time it agreed to buy the ailing lender.


CRS HOLDING: Converts Ch. 11 Case to Ch. 7 Liquidation
------------------------------------------------------
Pam Huff, writing for Tampa Bay Business Journal, reported that the
Chapter 11 trustee in the Creative Recycling Systems' bankruptcy
case has filed a notice for voluntary conversion to Chapter 7
bankruptcy liquidation.

According to the report, the company has since closed all of its
facilities around the country and laid off hundreds of employees.
The judge in the case in the U.S. Middle District of Florida has
also ordered that the company could abandon all property burdensome
to the estate, the report related.  Johnson Pope Bokor Ruppel &
Burns LLP's Michael Markham, attorney for the trustee, said the
possibility of selling the company is no longer on the table, the
report further related.

                  About CRS Holding of America

CRS Holding of America, LLC, operates a full-service electronics
recycling business, providing e-waste recycling solutions for
organizations of all sizes.  CRS's offerings are designed to meet
customers' demand for data security and environmental compliance.

CRS Holding and 21 subsidiaries sought Chapter 11 protection
(Bankr. M.D. Fla. Case No. 14-bk-10142) in Tampa, Florida, on
Aug. 29, 2014.

CRS estimated total assets of $50 million to $100 million and debt
of $10 million to $50 million.  The Debtors' outstanding loan
balances to secured creditors are: Regions Bank, $15 million; JY
Creative Holdings, Inc. $6.8 million; and Intersection, LLC,
$250,000.  The Debtors estimate that general unsecured claims
total $5 million.

The cases are assigned to Judge K. Rodney May. The Debtors have
tapped Shumaker, Loop & Kendrick, LLP, as counsel.

CRS Holding of America, LLC, reported $812,470 in total assets,
and $37,560,321 in total liabilities.


CYCLONE POWER: Posts $1.3 Million Net Income in 3rd Quarter
-----------------------------------------------------------
Cyclone Power Technologies, Inc., filed with the U.S. Securities
and Exchange Commission its quarterly report on Form 10-Q
disclosing net income of $1.33 million on $175,000 of revenues for
the three months ended Sept. 30, 2014, compared to a net loss of
$871,894 on $212,500 of revenues for the same period a year ago.

For the nine months ended Sept. 30, 2014, the Company reported a
net loss of $947,468 on $315,527 of revenues compared to a net loss
of $2.12 million on $715,382 of revenues for the same period in
2013.

As of Sept. 30, 2014, the Company had $2.41 million in total
assets, $3.16 million in total liabilities and a $748,000
stockholders' deficit.

"The Company has a working capital deficit at September 30, 2014 of
approximately $1.9 million.  There is no guarantee whether the
Company will be able to generate enough revenue and/or raise
capital to support its operations.  This raises substantial doubt
about the Company's ability to continue as a going concern," the
Company stated in the filing.

A full-text copy of the regulatory filing is available at:

                        http://is.gd/UJblBJ

                        About Cyclone Power

Pompano Beach, Fla.-based Cyclone Power Technologies, Inc. (Pink
Sheets: CYPW) is a clean-tech engineering company, whose business
is to develop, commercialize and license its patented Rankine
cycle engine technology for applications ranging from renewable
power generation to transportation.  The Company is the successor
entity to the business of Cyclone Technologies LLLP, a limited
liability limited partnership formed in Florida in June 2004.
Cyclone Technologies LLLP was the original developer and
intellectual property holder of the Cyclone engine technology.

Cyclone Power reported a net loss of $3.79 million on $715,382 of
revenues for the year ended Dec. 31, 2013, as compared with a net
loss of $3 million on $1.13 million of revenues for the year ended
Dec. 31, 2012.

Mallah Furman, in Fort Lauderdale, Florida, issued a "going
concern" qualification on the consolidated financial statements
for the year ended Dec. 31, 2013.  The independent auditors noted
that the Company's dependence on outside financing, lack of
sufficient working capital, and recurring losses raises
substantial doubt about its ability to continue as a going
concern.


DEB STORES: Gets Nod for Bankruptcy Auction Plans
-------------------------------------------------
Law360 reported that U.S. Bankruptcy Judge Kevin Gross agreed to
approve Deb Stores Holding LLC's auction strategy, which would have
the women's apparel retailer liquidate unless a better
going-concern offer pops up, but said he would be willing to tweak
parts of the process if problems emerge along the way.

According to the report, Judge Gross said he was convinced that the
proposed timeline for the sale process -- which sets a bid deadline
for New Year's Eve and an auction, if needed, for Jan. 6 -- should
be preserved after hearing testimony that Deb Stores will start
running out of money to finance the case and its operations in
early January.

                         About Deb Stores

Headquartered in Philadelphia, Pennsylvania, Deb Stores is a mall-
based retailer in the juniors "fast-fashion" specialty sector that
operates under the name "DEB" and offers moderately priced,
fashionable, coordinated women's sportswear, dresses, coats,
lingerie, accessories and shoes for junior and plus sizes.  The
company, founded by Philip Rounick and Emma Weiner, opened its
first store under the name JOY Hosiery in Philadelphia,
Pennsylvania in 1932.  As of Sept. 30, 2014, the company operated
a total of 295 retail store locations (primarily in the East and
Midwest, especially Pennsylvania, Ohio and Michigan) as well as an
e-commerce channel.

On June 26, 2011, Deb Stores' predecessors -- DSI Holdings Inc.
and its subsidiaries sought Chapter 11 protection (Bankr. D. Del.
Lead Case No. 11-11941) and closed the sale of the assets three
months later to Ableco Finance, LLC, the agent for the first lien
lenders.

Deb Stores Holding LLC and 8 affiliated companies commenced
Chapter 11 bankruptcy cases in Delaware on Dec. 4, 2014.  The
Debtors are seeking to have their cases jointly administered, with
pleadings maintained on the case docket for Deb Stores Holding
LLC; Case No. 14-12676.  The cases are assigned to Judge Mary F.
Walrath.

Laura Davis Jones, Esq., Colin R. Robinson, Esq., at and Peter J.
Keane, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington,
Delaware, serve as counsel to the Debtors.  Epiq Bankruptcy
Solutions, LLC, is the claims and noticing agent.

As of Dec. 31, 2014, the Debtors' most recent audited consolidated
financial statements reflected assets totaling $90.5 million and
liabilities totaling $120.1 million.


DEB STORES: U.S. Trustee, Landlords Oppose Bankruptcy Sale Plans
----------------------------------------------------------------
Law360 reported that the U.S. Trustee's Office and several
landlords of individual Deb Shops locations took issue with Deb
Stores Holding LLC's bankruptcy sale plans, with objections ranging
from how a possible liquidation would be handled to timing issues
if the debtor winds up selling its business as a going concern.
According to the Law360 report, the concerns are laid out in nearly
a dozen objections filed before the Delaware bankruptcy court that
see the U.S. Trustee's Office bristling over an "ill-defined"
marketing process for some assets.

Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that U.S. Bankruptcy Judge Kevin Gross in Delaware
signed an order on Dec. 18 authorizing the selection of a joint
venture between Hilco Merchant Resources LLC and Gordon Brothers
Retail Partners LLC as the so-called stalking horse bidder to
conduct chain-wide store-closing sales, subject to competitive
bidding.  An auction is scheduled for Jan. 6, to be followed by a
Jan. 7 sale-approval hearing, the Bloomberg report said.

                         About Deb Stores

Headquartered in Philadelphia, Pennsylvania, Deb Stores is a mall-
based retailer in the juniors "fast-fashion" specialty sector that
operates under the name "DEB" and offers moderately priced,
fashionable, coordinated women's sportswear, dresses, coats,
lingerie, accessories and shoes for junior and plus sizes.  The
company, founded by Philip Rounick and Emma Weiner, opened its
first store under the name JOY Hosiery in Philadelphia,
Pennsylvania in 1932.  As of Sept. 30, 2014, the company operated
a total of 295 retail store locations (primarily in the East and
Midwest, especially Pennsylvania, Ohio and Michigan) as well as an
e-commerce channel.

On June 26, 2011, Deb Stores' predecessors -- DSI Holdings Inc.
and its subsidiaries sought Chapter 11 protection (Bankr. D. Del.
Lead Case No. 11-11941) and closed the sale of the assets three
months later to Ableco Finance, LLC, the agent for the first lien
lenders.

Deb Stores Holding LLC and 8 affiliated companies commenced
Chapter 11 bankruptcy cases in Delaware on Dec. 4, 2014.  The
Debtors are seeking to have their cases jointly administered, with
pleadings maintained on the case docket for Deb Stores Holding
LLC; Case No. 14-12676.  The cases are assigned to Judge Mary F.
Walrath.

Laura Davis Jones, Esq., Colin R. Robinson, Esq., at and Peter J.
Keane, Esq., at Pachulski Stang Ziehl & Jones LLP, in Wilmington,
Delaware, serve as counsel to the Debtors.  Epiq Bankruptcy
Solutions, LLC, is the claims and noticing agent.

As of Dec. 31, 2014, the Debtors' most recent audited consolidated
financial statements reflected assets totaling $90.5 million and
liabilities totaling $120.1 million.


DENDREON CORP: Proposed Incentive Plan Approved
-----------------------------------------------
BankruptcyData reported that the U.S. Bankruptcy Court has
authorized Dendreon Corporation to implement a key employee
incentive plan with maximum aggregate payments of $3.1 million.

According to the report, at the 'Minimum Threshold' of $325
million, the Participants will not receive a KEIP payment even if a
transaction closes.  The 'Maximum Threshold' is satisfied if the
Debtors obtain a Total Value of $620 million, which reflects the
amount necessary to pay off the Debtors' debt, the report related.
At a Total Value between $325 million and $620 million, the amounts
to be paid are determined on a straight-line basis, the report
said.

                          About Dendreon

With corporate headquarters in Seattle, Washington, Dendreon
Corporation -- http://www.dendreon.com/-- a biotechnology company

focused on the development of novel cellular immunotherapies to
significantly improve treatment options for cancer patients.
Dendreon's first product, PROVENGE (sipuleucel-T), was approved by
the U.S. Food and Drug Administration (FDA) and became
commercially available for the treatment of men with asymptomatic
or minimally symptomatic castrate-resistant (hormone-refractory)
prostate cancer in April 2010.  Dendreon is traded on the NASDAQ
Global Market under the symbol DNDN.

Dendreon and its U.S. subsidiaries filed for Chapter 11 bankruptcy
protection (Bankr. D. Del.) on Nov. 10, 2014.  The Debtors have
requested that their cases be jointly administered under Case No.
14-12515.  Judge Peter J. Walsh presides over the cases.  The
petitions were signed by Gregory R. Cox, interim chief financial
officer and treasurer.

Dendreon sought bankruptcy protection after it reached agreements
on the terms of a financial restructuring with certain  holders of
the Company's 2.875% Convertible Senior Notes due 2016
representing 84% of the $620 million aggregate principal amount of
the 2016 Notes.  The financial restructuring may take the form of
a stand-alone recapitalization or a sale of the Company or its
assets.

The Debtors have engaged Skadden, Arps, Slate, Meagher & Flom LLP,
as counsel; Lazard Freres & Co. LLC, as investment banker;
AlixPartners, as restructuring advisors; and Prime Clerk LLC as
claims and noticing agent.

The Debtors disclosed $365 million in total assets and
$664 million in total liabilities as of June 30, 2014.

The U.S. Trustee for Region 3 has appointed five members to the
Official Committee of Unsecured Creditors.


DENDREON INC: Meeting of Creditors Continued Until Jan. 14
----------------------------------------------------------
The U.S. Trustee continued until Jan. 14, 2015, at 10:00 a.m., the
meeting of creditors in the Chapter 11 case of Dendreon
Corporation.  The meeting will be held at J. Caleb Boggs Federal
Building, 844 King St., Room 2112, Wilmington, Delaware.

                       About Dendreon Corp.

With corporate headquarters in Seattle, Washington, Dendreon
Corporation -- http://www.dendreon.com/-- a biotechnology company

focused on the development of novel cellular immunotherapies to
significantly improve treatment options for cancer patients.
Dendreon's first product, PROVENGE (sipuleucel-T), was approved by
the U.S. Food and Drug Administration (FDA) and became
commercially available for the treatment of men with asymptomatic
or minimally symptomatic castrate-resistant (hormone-refractory)
prostate cancer in April 2010.  Dendreon is traded on the NASDAQ
Global Market under the symbol DNDN.

Dendreon and its U.S. subsidiaries filed for Chapter 11 bankruptcy
protection (Bankr. D. Del.) on Nov. 10, 2014.  The Debtors have
requested that their cases be jointly administered under Case No.
14-12515.  Judge Peter J. Walsh presides over the cases.  The
petitions were signed by Gregory R. Cox, interim chief financial
officer and treasurer.

Dendreon sought bankruptcy protection after it reached agreements
on the terms of a financial restructuring with certain  holders of
the Company's 2.875% Convertible Senior Notes due 2016
representing 84% of the $620 million aggregate principal amount of
the 2016 Notes.  The financial restructuring may take the form of
a stand-alone recapitalization or a sale of the Company or its
assets.

The Debtors have engaged Skadden, Arps, Slate, Meagher & Flom LLP,
as counsel; Lazard Freres & Co. LLC, as investment banker;
AlixPartners, as restructuring advisors; and Prime Clerk LLC as
claims and noticing agent.

The Debtors disclosed $365 million in assets and $664 million in
liabilities as of June 30, 2014.

The U.S. Trustee for Region 3 has appointed five members to the
Official Committee of Unsecured Creditors.



DERMA PENN: Ch. 11 Case for Skin Treatment Co. Thrown Out
---------------------------------------------------------
Law360 reported that a Delaware bankruptcy judge threw out Derma
Pen LLC's Chapter 11 case, ruling there was no evidence the skin
treatment seller was in financial distress when it filed and that
its petition was simply a tactic to disrupt a lawsuit over
ownership of the trademark for its primary products.

According to the report, in an 18-page opinion, U.S. Bankruptcy
Judge Kevin J. Carey wrote that Derma Pen failed to show it had
filed for Chapter 11 in good faith, and that the timing of its
petition -- three days before a jury trial was set to begin in Utah
federal court in a dispute over the DermaPen trade name -- as well
as a lack of facts showing financial stress indicated the company
sought court protection to avoid trial expenses and the possibility
of an adverse ruling.

The case is In re Derma Pen LLC, case number 1:14-bk-11894, in the
U.S. Bankruptcy Court for the District of Delaware.


DIOCESE OF SPOKANE: Paine Hamblen Malpractice Suit Heads to Trial
-----------------------------------------------------------------
Law360 reported that Paine Hamblen LLP lost a last ditch effort to
avoid a looming trial in the Catholic Diocese of Spokane's
malpractice lawsuit that accuses the firm of failing to protect the
church from future liability after negotiating a $50 million deal
to settle civil sexual abuse claims in its bankruptcy.

According to the report, U.S. Bankruptcy Judge Frederick P. Corbitt
denied the law firm's motion to dismiss the suit, but did so
without prejudice, saying the issues raised can be brought up again
at the Feb. 17 trial.  In its November motion to dismiss, Paine
Hamblen said the diocese had waived its right to pursue claims
against the firm when it "deliberately delayed" filing the
litigation until after the court's former bankruptcy judge,
Patricia C. Williams, retired, the report related.

The case is Catholic Bishop of Spokane et al. v. Paine Hamblen LLP
et al. in the U.S. District Court for the Eastern District of
Washington.

                   About The Diocese of Spokane

The Roman Catholic Church of the Diocese of Spokane filed for
chapter 11 protection (Bankr. E.D. Wash. Case No. 04-08822) on
Dec. 6, 2004.  Michael J. Paukert, Esq., at Paine, Hamblen,
Coffin, Brooke & Miller, LLP, represents the Spokane Diocese in
its restructuring efforts.  When the Debtor filed for protection
from its creditors, it listed $11,162,938 in total assets and
$81,364,055 in total debts.

The Diocese of Spokane, the Tort Claimants Committee, the Future
Claims Representative, and the Executive Committee of the
Association of Parishes delivered an Amended Plan of
Reorganization, and a Disclosure Statement describing that Plan to
the Court on Feb. 1, 2007.  The Honorable Patricia C. Williams
approved the disclosure statement on March 8, 2007.  On April 24,
2007, the Court confirmed Spokane's second amended joint plan.
That plan became effective May 31, 2007.


EDNEAVOUR INT'L: Court Sets January 26 as Claims Bar Date
---------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware set Jan. 26,
2015, at 5:00 p.m. (prevailing Eastern time) as deadline for
creditors of Endeavour International Corporation and its
debtor-affiliates to file their proof of claims.  All governmental
units must file no later than 5:00 p.m. (prevailing Easter time) on
April 8, 2015.

All proof of claims must be filed at:

  Endeavour Claims Processing
  c/o Kurtzman Carson Consultants LLC
  2335 Alaska Avenue
  El Segundo, CA 90245

                 About Endeavour International

Houston, Texas-based Endeavour International Corporation (OTC:
ENDRQ) (LSE: ENDV) is an oil and gas exploration and production
company focused on the acquisition, exploration and development of
energy reserves in the North Sea and the United States.

On Oct. 10, 2014, Endeavour International and five affiliates filed
voluntary petitions for relief under Chapter 11 of the United
States Bankruptcy Code after reaching a restructuring deal with
noteholders.  The cases are pending joint administration under
Endeavour Operating Corp.'s Case No. 14-12308 before the Honorable
Kevin J. Carey (Bankr. D. Del.).

As of June 30, 2014, the Company had $1.55 billion in total assets,
$1.55 billion in total liabilities, $43.70 million in series c
convertible preferred stock, and a $41.48 million stockholders'
deficit.

The Debtors have tapped Weil, Gotshal & Manges LLP as counsel;
Richards, Layton & Finger, P.A., as co-counsel; The Blackstone
Group L.P., as financial advisor; AlixPartners, LLP, as
restructuring advisor; and Kurtzman Carson Consultants LLC, as
claims and noticing agent.


FL 6801: Takes On Homeowners' Ch. 11 Claims
-------------------------------------------
Law360 reported that the bankrupt owners of Miami's Canyon Ranch
condominium-hotel development, scooped up by private equity firm Z
Capital Partners, took aim at $341 million in damages claims from
disgruntled condo owners that tried and failed to block the sale.

According to the report, an objection filed in court asserted that
three condo unit associations cannot claim damages from FL 6801
Spirits LLC on causes of action that were resolved in the course of
the now-finalized sale of the Lehman Brothers Holdings Inc.-owned
mixed-use hotel and residential project.

                      About FL 6801 Spirits

FL 6801 Spirits LLC, a wholly owned subsidiary of Lehman Brothers
Holdings Inc. and three of its wholly owned subsidiaries filed
voluntary Chapter 11 petitions, seeking bankruptcy protection for
their condominium hotel property in Miami Beach.  The affiliates
are FL 6801 Collins North LLC, FL 6801 Collins Central LLC, and FL
6801 Collins South LLC.

FL Spirits' Canyon Ranch Living Hotel and Spa is a luxury full-
service, ocean front condominium hotel located at the site of the
old Carillon Hotel in Miami Beach, Florida.  The current operator
of the hotel, Canyon Ranch Living, is not a debtor, and operations
at the property are expected to continue without interruption.

FL Spirits and the three affiliates companies have sought joint
administration, with pleadings to be maintained at FL 6801's case
docket (Bankr. S.D.N.Y. Lead Case No. 14-11691).

FL Spirits has tapped Togut, Segal & Segal LLP as general
bankruptcy counsel, Shutts & Bowen LLP as special real estate
counsel, CBRE, Inc., as real estate broker, and Prime Clerk as
claims and notice agent.

Lehman Brothers filed for Chapter 11 bankruptcy (Bankr. S.D.N.Y.
Case No. 08-13555) on Sept. 15, 2008.  Lehman's bankruptcy
petition disclosed US$639 billion in assets and US$613 billion in
debts, effectively making the firm's bankruptcy filing the largest
in U.S. history.  Lehman's Chapter 11 plan became effective on
March 6, 2012.


FREEDOM INDUSTRIES: Exec Says Spill Exposure DQs Prosecutors
------------------------------------------------------------
Law360 reported that Gary Southern, the president of Freedom
Industries Inc., told a federal court that prosecutors charging him
with lying to a bankruptcy court to shield his assets following a
massive chemical spill should be disqualified, saying they can't be
impartial because they were among the 300,000 West Virginia
residents exposed to the January spill.

According to the report, Southern argued that the prosecutors from
the U.S. Attorney's Office for the Southern District of West
Virginia can't be impartial because they too were victims of
hardships and inconveniences following the January chemical spill,
after which West Virginia Gov. Earl Ray Tomblin issued a state of
emergency and residents were advised that the water was unsafe for
cooking, drinking or bathing.

The executive, who faces up to 20 years in prison for wire fraud
and five years for bankruptcy fraud and making a false oath in
bankruptcy, says that the prosecutors, who have incurred financial
losses as a result of the spill, makes them potential litigants in
any of the myriad civil suits that have been filed against the
company, as well as potential beneficiaries of any restitution that
is ordered as a result of the criminal charges, the report
related.

                      About Freedom Industries

Freedom Industries Inc., is engaged principally in the business of
producing specialty chemicals for the mining, steel and cement
industries.  The Debtor operates two production facilities located
in (a) Nitro, West Virginia; and (b) Charleston, West Virginia.

The company, connected to a chemical spill that tainted the water
supply in West Virginia, sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. S.D. W.Va. Case No. 14-bk-20017) on
Jan. 17, 2014.  The case is assigned to Judge Ronald G. Pearson.
The petition was signed by Gary Southern, president.

The Debtor is represented by Mark E Freedlander, Esq., at McGuire
Woods LLP, in Pittsburgh, Pennsylvania; and Stephen L. Thompson,
Esq., at Barth & Thompson, in Charleston, West Virginia.

On Dec. 31, 2013, four companies merged under the umbrella of
Freedom Industries: Freedom Industries Inc., Etowah River Terminal
LLC, Poca Blending LLC and Crete Technologies LLC.

As reported in the Troubled Company Reporter on Feb. 20, 2014,
Kate White, writing for The Charleston Gazette, reported that the
Debtor disclosed $16 million in assets and $6 million in
liabilities when it filed for bankruptcy.

On Feb. 5, 2014, the U.S. Trustee appointed an official committee
of unsecured creditors.  The Committee retained Frost Brown Todd
LLC as counsel.

On March 18, 2014, the Bankruptcy Court approved the hiring of
Mark Welch at MorrisAnderson in Chicago as Freedom's chief
restructuring officer.


GENERAL MOTORS: Merrill Lynch Fined $1.9M Over Debt Sales
---------------------------------------------------------
Law360 reported that the Financial Industry Regulatory Authority
said it has fined Merrill Lynch Pierce Fenner & Smith Inc. $1.9
million and ordered it to pay more than $541,000 in restitution
after Merrill Lynch bought up distressed debt of the then-bankrupt
General Motors Corp. from retail customers at unfairly discounted
prices.  According to FINRA, soon after GM's June 2009 bankruptcy
filing, traders on Merrill Lynch's credit trading desk agreed to
buy up corporate debt issued by the car manufacturer from retail
customers, the report related.

                       About General Motors

General Motors Corporation and three of its affiliates filed for
Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 09-50026) on
June 1, 2009.  The Honorable Robert E. Gerber presides over the
Chapter 11 cases.  Harvey R. Miller, Esq., Stephen Karotkin,
Esq., and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges
LLP, assist the Debtors in their restructuring efforts.  Al Koch
at AP Services, LLC, an affiliate of AlixPartners, LLP, serves as
the Chief Executive Officer for Motors Liquidation Company.  GM
is also represented by Jenner & Block LLP and Honigman Miller
Schwartz and Cohn LLP as counsel.  Cravath, Swaine, & Moore LLP
is providing legal advice to the GM Board of Directors.  GM's
financial advisors are Morgan Stanley, Evercore Partners and the
Blackstone Group LLP.  Garden City Group is the claims and notice
agent of the Debtors.

The U.S. Trustee appointed an Official Committee of Unsecured
Creditors and a separate Official Committee of Unsecured
Creditors Holding Asbestos-Related Claims.  Lawyers at Kramer
Levin Naftalis & Frankel LLP served as bankruptcy counsel to the
Creditors Committee.  Attorneys at Butzel Long served as counsel
on supplier contract matters.  FTI Consulting Inc. served as
financial advisors to the Creditors Committee.  Elihu Inselbuch,
Esq., at Caplin & Drysdale, Chartered, represented the Asbestos
Committee.  Legal Analysis Systems, Inc., served as asbestos
valuation analyst.

The Bankruptcy Court entered an order confirming the Debtors'
Second Amended Joint Chapter 11 Plan on March 29, 2011.  The Plan
was declared effect on March 31.

On Dec. 15, 2011, Motors Liquidation Company was dissolved.  On
the Dissolution Date, pursuant to the Plan and the Motors
Liquidation Company GUC Trust Agreement, dated March 30, 2011,
between the parties thereto, the trust administrator and trustee
-- GUC Trust Administrator -- of the Motors Liquidation Company
GUC Trust, assumed responsibility for the affairs of and certain
claims against MLC and its debtor subsidiaries that were not
concluded prior to the Dissolution Date.

                        *     *     *

The Troubled Company Reporter, on Sep. 29, 2014, reported that
Standard & Poor's Ratings Services raised its corporate credit
rating on U.S. automaker General Motors Co. (GM) to 'BBB-' from
'BB+', and revised the outlook to stable from positive.  At the
same time, S&P raised its issue-level rating on GM's unsecured
debt to 'BBB-' from 'BB+' and simultaneously withdrew its '4'
recovery rating on that debt, because S&P do not assign recovery
ratings to the issues of investment-grade companies.

On Oct. 21, 2014, the TCR reported that Fitch Ratings has assigned
a rating of 'BB+' to GM's amended unsecured credit facilities.
Fitch currently rates GM's Issuer Default Rating (IDR) 'BB+'.  The
Rating Outlook is Positive.  Fitch has also affirmed and withdrawn
the 'BB+' IDR of GM's General Motors Holdings LLC (GM Holdings)
subsidiary, as there is no longer any rated debt at the
subsidiary, and Fitch does not expect the subsidiary to be an
active issuer going forward.  Fitch has also withdrawn GM
Holdings' unsecured credit facility rating of 'BB+' as the
subsidiary is no longer a borrower on the facilities.

The TCR, on Nov. 6, 2014, reported that Fitch Ratings has assigned
a rating of 'BB+' to GM's proposed issuance of senior unsecured
notes.  The existing Issuer Default Rating (IDR) for GM is 'BB+'
and the Rating Outlook is Positive.


GENERAL MOTORS: Trust Says Defect Liability Lies with New Co.
-------------------------------------------------------------
Law360 reported that the trust representing creditors of General
Motors Co.'s bankruptcy estate says that the car company is
unfairly trying to skirt lawsuits over drops in vehicle value
stemming from flaws, including the deadly ignition switch defect,
and that the plaintiffs have correctly directed their claims at New
GM.

According to the report, the Wilmington Trust Co., acting as
trustee and administrator of the Motors Liquidation Co. general
unsecured creditors trust, argued in a brief in New York bankruptcy
court that New GM is wrong to urge the ignition switch defect
plaintiffs to file their claims against Old GM.

                       About General Motors

General Motors Corporation and three of its affiliates filed for
Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 09-50026) on
June 1, 2009.  The Honorable Robert E. Gerber presides over the
Chapter 11 cases.  Harvey R. Miller, Esq., Stephen Karotkin,
Esq., and Joseph H. Smolinsky, Esq., at Weil, Gotshal & Manges
LLP, assist the Debtors in their restructuring efforts.  Al Koch
at AP Services, LLC, an affiliate of AlixPartners, LLP, serves as
the Chief Executive Officer for Motors Liquidation Company.  GM
is also represented by Jenner & Block LLP and Honigman Miller
Schwartz and Cohn LLP as counsel.  Cravath, Swaine, & Moore LLP
is providing legal advice to the GM Board of Directors.  GM's
financial advisors are Morgan Stanley, Evercore Partners and the
Blackstone Group LLP.  Garden City Group is the claims and notice
agent of the Debtors.

The U.S. Trustee appointed an Official Committee of Unsecured
Creditors and a separate Official Committee of Unsecured
Creditors Holding Asbestos-Related Claims.  Lawyers at Kramer
Levin Naftalis & Frankel LLP served as bankruptcy counsel to the
Creditors Committee.  Attorneys at Butzel Long served as counsel
on supplier contract matters.  FTI Consulting Inc. served as
financial advisors to the Creditors Committee.  Elihu Inselbuch,
Esq., at Caplin & Drysdale, Chartered, represented the Asbestos
Committee.  Legal Analysis Systems, Inc., served as asbestos
valuation analyst.

The Bankruptcy Court entered an order confirming the Debtors'
Second Amended Joint Chapter 11 Plan on March 29, 2011.  The Plan
was declared effect on March 31.

On Dec. 15, 2011, Motors Liquidation Company was dissolved.  On
the Dissolution Date, pursuant to the Plan and the Motors
Liquidation Company GUC Trust Agreement, dated March 30, 2011,
between the parties thereto, the trust administrator and trustee
-- GUC Trust Administrator -- of the Motors Liquidation Company
GUC Trust, assumed responsibility for the affairs of and certain
claims against MLC and its debtor subsidiaries that were not
concluded prior to the Dissolution Date.

                        *     *     *

The Troubled Company Reporter, on Sep. 29, 2014, reported that
Standard & Poor's Ratings Services raised its corporate credit
rating on U.S. automaker General Motors Co. (GM) to 'BBB-' from
'BB+', and revised the outlook to stable from positive.  At the
same time, S&P raised its issue-level rating on GM's unsecured
debt to 'BBB-' from 'BB+' and simultaneously withdrew its '4'
recovery rating on that debt, because S&P do not assign recovery
ratings to the issues of investment-grade companies.

On Oct. 21, 2014, the TCR reported that Fitch Ratings has assigned
a rating of 'BB+' to GM's amended unsecured credit facilities.
Fitch currently rates GM's Issuer Default Rating (IDR) 'BB+'.  The
Rating Outlook is Positive.  Fitch has also affirmed and withdrawn
the 'BB+' IDR of GM's General Motors Holdings LLC (GM Holdings)
subsidiary, as there is no longer any rated debt at the
subsidiary, and Fitch does not expect the subsidiary to be an
active issuer going forward.  Fitch has also withdrawn GM
Holdings' unsecured credit facility rating of 'BB+' as the
subsidiary is no longer a borrower on the facilities.

The TCR, on Nov. 6, 2014, reported that Fitch Ratings has assigned
a rating of 'BB+' to GM's proposed issuance of senior unsecured
notes.  The existing Issuer Default Rating (IDR) for GM is 'BB+'
and the Rating Outlook is Positive.


GEORGE BAVELIS: Invited Error Doctrine Overrides Non-Core Argument
------------------------------------------------------------------
The Bankruptcy Appellate Panel of the Sixth Circuit Court of
Appeals affirmed an order of a bankruptcy court disallowing the
claims filed by Quick Capital of L.I. Corp. against the bankrupt
estate of George Bavelis, after rejecting, under the invited error
doctrine, the creditor's contention that the state-law issue was a
non-core matter.

Noting that parties can waive restrictions on a bankruptcy court's
ability to rule on non-core issues, the circuit court defined the
invited error doctrine as meaning that a "party may not complain on
appeal of errors that he himself invited or provoked the court to
commit," according to Bill Rochelle and Sherri Toub, bankruptcy
columnists for Bloomberg News.

The case is Bavelis v. Doukas (In re Bavelis), 14-3076, 2014 BL
337379, U.S. Sixth Circuit Court of Appeals (Cincinnati).  A
full-text copy of the Decision dated Dec. 19, 2014, is available
at http://bankrupt.com/misc/BAVELIS1219.pdf


GREAT NORTHERN PAPER: Has Deal Giving Maine Town Water Treatment
----------------------------------------------------------------
Nick Sambides Jr., writing for Bangor Daily News, reported that the
court-appointed trustee of bankrupt Great Northern Paper Co. will
ask a bankruptcy judge to approve a deal that will continue
operation of a wastewater treatment plant formerly run by the
company that serves East Millinocket, in Maine.

According to the report, attorneys for the two GNP bankruptcy
estates have agreed to loan the town and state as much as $250,000
to pay the treatment plant's four full-time and two part-time
workers and operate the plant for six months.

                    About Great Northern Paper

Headquartered in Millinocket, Maine, Great Northern Paper, Inc.,
one of the largest producers of groundwood specialty papers in
North America, filed for chapter 11 protection (Bankr. Maine, Case
No. 03-10048) on Jan. 9, 2003.  Alex M. Rodolakis, Esq., and Harold
B. Murphy, Esq., at Hanify & King, P.C., represented the Debtor.
When the Company filed for chapter 11 protection, it listed debts
and assets of more than $100 million each.  In early 2003,
Belgravia purchased substantially all of the Debtor's assets for
approximately $75 million.  The Maine Bankruptcy Court converted
the Debtor's case to a chapter 7 liquidation proceeding on May 22,
2003.  Gary M. Growe was the chapter 7 Trustee for the Debtor's
estate.  Jeffrey T. Piampiano, Esq., at Drummond Woodsum & MacMahon
represented the chapter 7 Trustee.

GNP Maine Holdings LLC, dba Great Northern Paper Company, filed a
voluntary petition for Chapter 7 bankruptcy (Bankr. D. Del. Case
No. 14-12179) on Sept. 22, 2014 in Wilmington, Delaware.  The next
day, three of Great Northern's trade creditors filed an involuntary
Chapter 7 petition (Bankr. D. Maine Case No. 14-10756).



GREAT WESTERN: Case Summary & 6 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Great Western Holdings, Inc
        Post Office Box 2490
        Napa, CA 94558

Case No.: 15-10005

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Northern District of California (Santa Rosa)

Judge: Hon. Alan Jaroslovsky

Debtor's Counsel: Michael C. Fallon, Esq.
                  LAW OFFICES OF MICHAEL C. FALLON
                  100 E St. #219
                  Santa Rosa, CA 95404
                  Tel: (707) 546-6770
                  Email: mcfallon@fallonlaw.net

Estimated Assets: $500,000 to $1 million

Estimated Liabilities: $1 million to $10 million

The petition was signed by Tim Wilkens, president.

A list of the Debtor's six largest unsecured creditors is available
for free at http://bankrupt.com/misc/canb15-10005.pdf


GT ADVANCED: Excess Assets Sale Procedures Approved
---------------------------------------------------
BankruptcyData reported that the U.S. Bankruptcy Court authorized
GT Advanced Technologies to sell, lease, or dispose of its "excess
assets," which are assets estimated to be worth less than $25,000,
with no notice required.

With regard to the sale, lease or disposition of any individual
Excess Asset or multiple Excess Assets in any transaction with a
single buyer or group of related buyers with an aggregate
transaction price between $25,001 and $500,000, the Debtor is
required to file a separate motion seeking court approval for any
sale, lease, or other disposition of those assets, the BData report
said.

                 About GT Advanced Technologies

Headquartered in Merrimack, New Hampshire, GT Advanced
Technologies Inc. -- http://www.gtat.com/-- produces materials  
and equipment for the electronics industry.  On Nov. 4, 2013, GTAT
announced a multiyear supply deal with Apple Inc. to produce
sapphire glass material for use in consumer electronics products.
Under the deal, Apple would provide GTAT with a prepayment of
approximately $578 million paid in four installments and, starting
in 2015, GTAT would reimburse Apple for the prepayment over a
five-year period.

GT is a publicly held corporation whose stock was traded on NASDAQ
under the ticker symbol "GTAT."  GTAT was de-listed from the
NASDAQ stock exchange in October 2014.

As of June 28, 2014, the GTAT Group's unaudited and consolidated
financial statements reflected assets totaling $1.5 billion and
liabilities totaling $1.3 billion.  As of Sept. 29, 2014, GTAT had
$85 million in cash, $84 million of which is unencumbered.

On Oct. 6, 2014, GT Advanced Technologies and eight affiliates
filed voluntary petitions for relief under Chapter 11 of the
United States Bankruptcy Code (Bankr. D.N.H. Lead Case No. 14-
11916).  GT says that it has sought bankruptcy protection due to a
severe liquidity crisis brought about by its issues with Apple.

The Debtors have tapped Nixon Peabody LLP and Paul Hastings LLP as
attorneys and Kurtzman Carson Consultants LLC as claims and
noticing agent.

The U.S. Trustee has named seven members to the Official Committee
of Unsecured Creditors.  The Committee' professionals are Kelley
Drye as its bankruptcy counsel; Devine, Millimet & Branch,
Professional Association as local counsel; EisnerAmper LLP as
financial advisors; and Houlihan Lokey Capital, Inc. as investment
banker.

GTAT has reached a settlement with Apple.  The settlement gives
Apple an approved claim for $439 million secured by more than
2,000 sapphire furnaces that GT Advanced owns and has four years
to sell, with proceeds going to Apple.  In addition, Apple gets
royalty-free, non-exclusive licenses for GTAT's technology.


HEI INC: Proposes Fredrikson & Byron as Bankr. Counsel
------------------------------------------------------
HEI, Inc., seeks approval from the Bankruptcy Court to employ the
law firm of Fredrikson & Byron P.A., including lawyers in its
bankruptcy group, to represent and assist the Debtor in carrying
out its duties under Title 11 of the United States Code and to
perform other legal services necessary to the Debtor's continuing
operations.

The Debtor proposes that employment be on a general retainer with
fees to be paid on a reasonable fee basis, dependent primarily on
the number of hours expended, but taking into consideration any
risk that there may not be funds available to pay fees, any delay
in making payments of fees, and such other factors as may be
appropriate, subject to the approval of the Court.

Fredrikson & Byron has not represented the Debtor in the past. The
firm was first engaged in November 2014 to assist the Debtor in
evaluating business options and on the preparation for filing this
case. Since November 2014, and connection with this matter, the
Debtor has paid to the firm fees and expenses of $104,700,
including these fees and expenses in the 90 days prior to the
filing date: $61,600 on Dec. 19, 2014, and $43,100 on Dec. 31,
2014.  The firm has been paid in full through Dec. 30, 2014.  Any
unpaid prepetition time will be reflected in the firm's first fee
application.  

In addition, on Jan. 2, 2015, the Debtor paid to Fredrikson & Byron
a Chapter 11 retainer of $70,400 to be applied against fees and
expenses incurred in preparation of the filing, with the remainder
to be held for application against final allowed fees, filing fees,
and any unpaid fees and expenses incurred immediately prior to the
Filing Date.

The Debtor has reviewed the unsworn declaration of James L.
Baillie, a shareholder of the firm, and believes the attorneys
selected by the Debtor do not represent any non-debtor entity in
connection with this case, do not hold or represent any interest
adverse to the estates, and are disinterested under Sec. 327 of the
Bankruptcy Code.

                          About HEI, Inc.

HEI, Inc., filed a Chapter 11 bankruptcy petition (Bankr. D. Minn.
Case No. 15-40009) in Minneapolis, Minnesota, on Jan. 4, 2015.  The
case is assigned to Judge Kathleen H. Sanberg.

The Debtor estimated $10 million to $50 million in assets and
debt.

The deadline for governmental entities to file claims is July 6,
2015.

The Debtor has tapped James L. Baillie, Esq., James C. Brand, Esq.,
and Sarah M Olson, Esq., at Fredrikson & Byron P.A., as counsel;
Alliance Management as business and financial consultant; and
Winthrop & Weinstine, P.A., as special counsel.


HEI INC: Wants to Keep Winthrop & Weinstine as Corporate Counsel
----------------------------------------------------------------
HEI, Inc., seeks approval from the Bankruptcy Court to employ its
existing corporate counsel Winthrop & Weinstine, P.A., as special
corporate counsel to the Debtor.

The Debtor proposes to continue to use Winthrop for its counsel on
general corporate matters, on merger and acquisition matters that
may arise from time to time, and on securities work that may arise
from time to time.

The Debtor does not employ any in-house attorneys and has consulted
with Winthrop on legal matters since June 2005.  The Debtor
proposes to continue this relationship and seeks authorization to
continue to consult with Winthrop attorneys from time to time as
necessary.

Prior to the Filing Date, the Debtor paid Winthrop a retainer of
$70,365.10, and has agreed that Winthrop will hold the retainer in
trust for application against its allowed postpetition fees and
expenses.  In the 90 days prior to the Filing Date, the Debtor has
paid Winthrop a total of $47,300 in connection with prepetition
services.

Philip T. Colton, a partner at the firm, discloses that they have
searched their conflicts database against the Debtor's secured
lender, its top 20 unsecured creditors as of Dec. 18, 2014, and the
proposed purchaser of certain of the Debtor's assets.  Based on
that search, Winthrop's representation of the Debtor does not
involve any concurrent conflict of interest except: (a) Winthrop
represents Wells Fargo on matters unrelated to the Debtor, and (b)
Winthrop represents Cresa Partners on matters unrelated to the
Debtor.

The firm may be reached at:

     Philip T. Colton, Esq.
     Winthrop & Weinstine, P. A.
     Capella Tower | Suite 3500
     225 South Sixth Street
     Minneapolis, MN  55402-4629
     Tel: (612) 604-6729
     Fax: (612) 604-6929
     E-mail: pcolton@winthrop.com

                          About HEI, Inc.

HEI, Inc., filed a Chapter 11 bankruptcy petition (Bankr. D. Minn.
Case No. 15-40009) in Minneapolis, Minnesota, on Jan. 4, 2015.  The
case is assigned to Judge Kathleen H. Sanberg.

The Debtor estimated $10 million to $50 million in assets and
debt.

The deadline for governmental entities to file claims is July 6,
2015.

The Debtor has tapped James L. Baillie, Esq., James C. Brand, Esq.,
and Sarah M Olson, Esq., at Fredrikson & Byron P.A., as counsel;
Alliance Management as business and financial consultant; and
Winthrop & Weinstine, P.A., as special counsel.


HIGHER LIVING CHRISTIAN: Case Summary & 20 Top Unsec. Creditors
---------------------------------------------------------------
Debtor: Higher Living Christian Church, Inc.
           fka New Birth South Metropolitan Church, Inc.
        2455 Mt. Carmel Road
        Hampton, GA 30228

Case No.: 15-50256

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Northern District of Georgia (Atlanta)

Debtor's Counsel: Anna Mari Humnicky, Esq.
                  COHEN POLLOCK MERLIN & SMALL
                  Suite 1600, 3350 Riverwood Parkway
                  Atlanta, GA 30339
                  Tel: (770) 857-4770
                  Email: ahumnicky@cpmas.com

                     - and -

                  Garrett H. Nye, Esq.
                  COHEN POLLOCK MERLIN & SMALL, P.C.
                  Suite 1600, 3350 Riverwood Parkway
                  Atlanta, GA 30339
                  Tel: (770) 857-4790
                  Fax: (770) 763-3168
                  Email: gnye@cpmas.com

                     - and -

                  Gus H. Small, Esq.
                  COHEN POLLOCK MERLIN & SMALL, PC
                  Suite 1600, 3350 Riverwood Parkway
                  Atlanta, GA 30339-6401
                  Tel: (770) 858-1288
                  Email: gsmall@cpmas.com

Estimated Assets: $1 million to $10 million

Estimated Liabilities: $10 million to $50 million

The petition was signed by Andre Landers, CEO and Chairman of Board
of Directors.

A list of the Debtor's 20 largest unsecured creditors is available
for free at http://bankrupt.com/misc/ganb15-50256.pdf


INDEX RECOVERY: Confirms Chapter 11 Liquidating Plan
----------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that Index Recovery Co., a feeder fund formerly
known as SPhinX Managed Futures Index Fund LP, got approval and
consummated a Chapter 11 plan of liquidation, allowing an initial
distribution to unsecured creditors.

As reported in the Oct. 8, 2014 edition of the TCR, the Debtor,
intends for the Plan to go effective as promptly as possible
thereafter and to make an initial distribution to allowed
nonsubordinated unsecured creditors equal to 100% of their allowed
claims, and then to investors of not less than $15 million, which
is approximately 43% of the redemption claim for each investor.
The Fund will make an initial distribution as soon as possible
after the effective date of the Plan.

The Fund's General Partner may act as or appoint an independent
party to act as plan administrator who will liquidate the Fund's
remaining Assets to Cash and distribute that Cash to holders of
Allowed Claims.  The Fund's only material non-Cash Asset is its
interest in and claims against the SPhinX Group, which is in
liquidation in the Cayman Islands.

All non-subordinated creditors will be paid in full under the
Plan.  The Fund is aware of approximately $160,000 in undisputed,
non-subordinated unsecured claims and approximately $300,000 in
non-subordinated, unliquidated, contingent and/or disputed
unsecured claims.  The Fund is not aware of any priority claims.
After payment of or reservation of funds for non-subordinated
claims, the holders of allowed subordinated unsecured claims will
receive a pro rata share of Cash available for distribution after
liquidation of the Assets.  The Assets are Cash and the Fund's
remaining claims against and interests in the SPhinX Group.

The Fund estimates that it will be able to make an initial
distribution or reservation of approximately $465,000 on account
of non-subordinated unsecured claims on the Effective Date, as
well as a distribution or reservation of approximately $15 million
of Cash on account of subordinated investor claims, also on the
Effective Date of the Plan.  The Fund estimates that the
subordinated, unsecured redemption claims held by investors equals
approximately $35 million.  Therefore, the Fund estimates that
investors will receive an initial distribution of approximately
43% of the value of their redemption claim (calculated as of
December 31, 2005).

Subsequent distributions will depend on the Fund's future
recoveries from the SphinX Group.  In November 2011, the joint
official liquidators (the "JOLs") of the SPhinX Group estimated
that investors such as the Fund should anticipate receiving total
distributions from the SPhinX Group of between 39% and 56%.  These
distributions are based upon a net claim that the Fund has against
SPhinX Group of $38,131,913.43.  It should be noted that these
estimates depend upon a number of assumptions made by the JOLs as
of November 2011.

The JOLs' recovery estimates predate the SPhinX Group making
substantial additional recoveries (and incurring substantial
additional costs) in the course of the SPhinX Group liquidation.
Additionally, the SPhinX Group is continuing to liquidate certain
of its assets, specifically claims against third party litigation
targets.  For purposes of this Disclosure Statement, the Fund uses
the JOLs' estimates from November 2011.  However, based upon the
recoveries made to date, it is possible that the Fund's percentage
recovery from the SPhinX Group may be materially higher than the
low-end estimate provided by the JOLs in November 2011.  Such
further distributions may be as much as $5 million to $9 million,
which would yield a total likely recovery on account of the Fund's
limited partners' redemption claims of 51% to 62%.

                    About Index Recovery Group

Index Recovery Group, LP, a managed futures investor formerly known
as SPhinX Managed Futures Index Fund, LP, sought Chapter 11
protection (Bankr. N.D.N.Y. Case No. 14-61434) in Utica, New York,
on Sept. 2, 2014.  The Debtor disclosed total assets of $13.8
million and total liabilities of $35.48 million.  Judge Diane Davis
presides over the case.  The Debtor is represented by Jeffrey A.
Dove, Esq., at Menter, Rudin & Trivelpiece, P.C.


INVERSIONES ALSACIA: Plan Supplement Filed
------------------------------------------
BankruptcyData reported that Inversiones Alsacia filed with the
U.S. Bankruptcy Court for the Southern District of New York a
notice of filing of a Second Supplement to the Plan Supplement for
the Debtors' Joint Prepackaged Chapter 11 Plan.  The Supplement
contains the following documents, each of which may be altered,
modified or supplemented: Exhibit B: new notes indenture and
Exhibit N: Banco Internacional loan modification documentation.

                          About Alsacia

Inversiones Alsacia, together with its affiliate, Express de
Santiago Uno S.A., are collectively the largest operator in the
Transantiago Transportation System, transporting approximately
800,000 passengers every day, throughout 35 communities in
Santiago, Chile, which accounts for more than 30% of the
passengers in Transantiago.  

Alsacia and Express belong to non-debtor Global Public Services
S.A. ("GPS Group"), an international holding company with
interests in public passenger transportation, environmental
solutions, outsourcing services and real estate development in
Chile, Colombia, Panama, Peru and the United States of America.
The GPS Group is controlled by Carlos Mario Rios Velilla and
Francisco Javier Rios Velilla and several of their affiliates.

Alsacia and Express and three affiliates sought bankruptcy
protection under Chapter 11 of the U.S. Bankruptcy Code in
Manhattan, New York (Bankr. S.D.N.Y.) on Oct. 16, 2014, with a
prepackaged plan that would restructure $347.3 million in senior
secured notes but leave other creditors and the owners unimpaired.
The cases are pending before the Honorable Martin Glenn and the
Debtors have requested that their cases be jointly administered
under Case No. 14-12896.

The Debtors have tapped Cleary Gottlieb Steen & Hamilton, LLP, as
bankruptcy counsel, FTI Consulting as financial advisor, and Prime
Clerk LLC as claims and balloting agent.

Inversiones Alsacia in December 2014 announced the successful
completion of its restructuring process.  The U.S. Bankruptcy Court
confirmed on Dec. 4, 2014, Alsacia's prepackaged plan of
reorganization.  The plan contemplates that the companies can
implement a planned exchange offer with holders of
$347.3 million in senior secured notes.


J & B RESTAURANT: Voluntary Chapter 11 Case Summary
---------------------------------------------------
Debtor: J & B Restaurant Partners of Long Island II, LLC
        4000 Veterans Memorial Hwy., 2nd Floor
        Bohemia, NY 11716

Case No.: 15-22009

Chapter 11 Petition Date: January 6, 2015

Court: United States Bankruptcy Court
       Southern District of New York (White Plains)

Judge: Hon. Robert D. Drain

Debtor's Counsel: Michael P. Cooley, Esq.
                  AKIN GUMP STRAUSS HAUER & FELD LLP
                  1700 Pacific Avenue, Suite 4100
                  Dallas, TX 75201-4675
                  Tel: 214-969-2723
                  Fax: 214-969-4343
                  Email: mcooley@akingump.com

Estimated Assets: $500,000 to $1 million

Estimated Liabilities: $10 million to $50 million

The petition was signed by Joseph Vitrano, president.

The Debtor did not include a list of its largest unsecured
creditors when it filed the petition.


LEHMAN BROTHERS: Trustee Seeks to Recover $98M From Wells Fargo
---------------------------------------------------------------
Law360 reported that Lehman Brothers Inc.'s liquidating trustee
filed a $98 million adversary proceeding against Wells Fargo Bank
NA in New York bankruptcy court seeking to recover collateral under
a swap agreement the bank allegedly ended when Lehman went under.

According to the report, attorneys for James Giddens -- the trustee
liquidating Lehman Brothers Holdings Inc.'s broker-dealer unit LBI
-- are requesting damages after Wells Fargo allegedly breached an
October 2001 contract under which LBI and the bank entered into
swap transactions involving agreements by the parties to exchange
payment obligations.  The trustee claims that, after Wells Fargo
told LBI that it was in default in September 2008, it gave LBI a
statement detailing how much it said was owed in the terminated
credit default and foreign exchange transactions after being offset
against collateral posted by LBI, the report related.

                      About Lehman Brothers

Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was  
the fourth largest investment bank in the United States.  For
more than 150 years, Lehman Brothers has been a leader in the
global financial markets by serving the financial needs of
corporations, governmental units, institutional clients and
individuals worldwide.

Lehman Brothers filed for Chapter 11 bankruptcy Sept. 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555).  Lehman's bankruptcy
petition disclosed US$639 billion in assets and US$613 billion in
debts, effectively making the firm's bankruptcy filing the
largest in U.S. history.  Several other affiliates followed
thereafter.

Affiliates Merit LLC, LB Somerset LLC and LB Preferred Somerset
LLC sought for bankruptcy protection in December 2009.

The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at
Weil, Gotshal & Manges, LLP, in New York, represent Lehman.  Epiq
Bankruptcy Solutions serves as claims and noticing agent.

Dennis F. Dunne, Esq., Evan Fleck, Esq., and Dennis O'Donnell,
Esq., at Milbank, Tweed, Hadley & McCloy LLP, in New York, serve
as counsel to the Official Committee of Unsecured Creditors.
Houlihan Lokey Howard & Zukin Capital, Inc., is the Committee's
investment banker.

On Sept. 19, 2008, the Honorable Gerard E. Lynch of the U.S.
District Court for the Southern District of New York, entered an
order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)).  James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI.

The Bankruptcy Court approved Barclays Bank Plc's purchase of
Lehman Brothers' North American investment banking and capital
markets operations and supporting infrastructure for US$1.75
billion.  Nomura Holdings Inc., the largest brokerage house in
Japan, purchased LBHI's operations in Europe for US$2 plus the
retention of most of employees.  Nomura also bought Lehman's
operations in the Asia Pacific for US$225 million.

Lehman emerged from bankruptcy protection on March 6, 2012, more
than three years after it filed the largest bankruptcy in U.S.
history.  The Chapter 11 plan for the Lehman companies other than
the broker was confirmed in December 2011.

As of Oct. 2, 2014, Lehman's total distributions to unsecured
creditors have amounted to $92.0 billion.  As of Sept. 30, 2014,
the brokerage trustee has substantially completed customer claims
distributions, distributing more than $106 billion to 111,000
customers.

Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and other
insolvency and bankruptcy proceedings undertaken by its
affiliates.


LILY GROUP: Gets Court Order Protecting Confidential Info
---------------------------------------------------------
Lily Group, Inc. obtained a protective order that would allow the
company to turn over documents while protecting what it deems
confidential information.

Lily Group's official committee of unsecured creditors had asked
for the documents to determine the value of certain assets sold by
the company to its lender LC Energy Holdings LLC.

Last year, the U.S. Bankruptcy Court for the Southern District of
Indiana approved LC Energy's credit bid for Lily Group's assets,
including the "unencumbered assets."  Since the transfer of the
assets, the parties have not yet resolved their dispute over the
value of the unencumbered assets and the amount to be paid by LC
Energy to Lily Group pursuant to its credit bid.

The protective order was signed by U.S. Bankruptcy Judge Basil
Lorch III.  A copy of the order is available without charge at
http://is.gd/LQqbn2

                         About Lily Group

Lily Group Inc., the developer of an open-pit coal mine in Green
County, Indiana, filed a petition for Chapter 11 reorganization
(Bankr. S.D. Ind. Case No. 13-81073) on Sept. 23, 2013, in Terre
Haute, Indiana.

In its amended schedules, the Debtor disclosed $2.55 million in
assets and $39.0 million in liabilities.

Jefferson & Brewer LLC has been designated as the Debtor's chief
restructuring officer.

The Debtor is represented by Courtney Elaine Chilcote, Esq., and
David R. Krebs, Esq., at Tucker, Hester, Baker & Krebs, LLC, in
Indianapolis, Indiana.  The official committee of unsecured
creditors has tapped Faegre Baker Daniels LLP as counsel.


MONROE HOSPITAL: Gets Court OK to Hire J. Roche as CRO
------------------------------------------------------
Monroe Hospital, LLC, won approval from the Bankruptcy Court to
employ Joseph Roche as chief restructuring officer effective as of
the closing date of the sale of substantially all of its assets.

                      About Monroe Hospital

Monroe Hospital, LLC, since 2006, has operated a 32 licensed bed
private acute care medical surgical hospital in Bloomington,
Indiana.  It leases the land on which the hospital is located from
MPT Bloomington, LLC.

Monroe Hospital, LLC, filed a Chapter 11 bankruptcy petition
(Bankr. S.D. Ind. Case No. 14-07417) in Indianapolis, Indiana, on
Aug. 8, 2014.  Joseph Roche signed the petition as president and
chief executive officer.  In its schedules, the Debtor disclosed
$14,327,739 in total assets and $136,386,925 in liabilities.

The case is assigned to Judge James M. Carr. The Debtor is
represented by attorneys at Bingham Greenebaum Doll
LLP.  Upshot Services LLC acts as the Debtor's noticing, claims
and balloting agent.


MONTREAL MAINE: New Railroad Rebuilding Business after Disaster
---------------------------------------------------------------
David Sharp, writing for the Associated Press, reported that the
company that purchased assets of the railroad responsible for a
fiery oil train derailment that killed 47 people in Canada says it
is seeing growth as it rebuilds the business.

According to the report, Central Maine and Quebec Railway has
nearly doubled its business from June, but it has yet to reach
levels before the disaster in Lac Megantic, Quebec, in July 2013,
said Ryan Ratledge, chief operating officer.

The report related that the new railroad already completed $10
million worth of track improvements -- mostly in Quebec -- that
were aimed at improving safety and allowing freight trains that had
been slowed to 10 mph in some sections to boost their speeds to 25
mph, he said.  The maintenance work included replacement of more
than 32,000 railroad ties and removal and replacement of more than
110,000 feet of rail, the report said.

                       About Montreal Maine

Montreal, Maine & Atlantic Railway Ltd., the railway company that
operated the train that derailed and exploded in July 2013,
killing 47 people and destroying part of Lac-Megantic, Quebec,
sought bankruptcy protection in U.S. Bankruptcy Court in Bangor,
Maine (Case No. 13-10670) on Aug. 7, 2013, with the aim of selling
its business.  Its Canadian counterpart, Montreal, Maine &
Atlantic Canada Co., meanwhile, filed for protection from
creditors in Superior Court of Quebec in Montreal.

Robert J. Keach, Esq., at Bernstein, Shur, Sawyer, and Nelson,
P.A., has been named as chapter 11 trustee.  His firm serves as
his chapter 11 bankruptcy counsel, led by Michael A. Fagone, Esq.,
and D. Sam Anderson, Esq.  Development Specialists, Inc., serves
as the Chapter 11 trustee's financial advisor.  Gordian Group,
LLC, serves as the Chapter 11 Trustee's investment banker.

U.S. Bankruptcy Judge Louis H. Kornreich has been assigned to the
U.S. case.  The Maine law firm of Verrill Dana served as counsel
to MM&A.  It now serves as counsel to the Chapter 11 Trustee.

Justice Martin Castonguay oversees the case in Canada.

The Canadian Transportation Agency suspended the carrier's
operating certificate after the accident, due to insufficient
liability coverage.

The town of Lac-Megantic, Quebec, has sought financial aid to
restore the gutted community and a civil complaint alleges a
failure to take steps to prevent a derailment.

In the Canadian case, Andrew Adessky at Richter Consulting has
been appointed CCAA monitor.  The CCAA Monitor is represented by
Sylvain Vauclair at Woods LLP.  MM&A Canada is represented by
Patrice Benoit, Esq., at Gowling LaFleur Henderson LLP.

The U.S. Trustee appointed a four-member official committee of
derailment victims.  The Official Committee is represented by:
Richard P. Olson, Esq., at Perkins Olson; and Luc A. Despins,
Esq., at Paul Hastings LLP.

There's also an unofficial committee of wrongful death claimants
consisting of representatives of the estates of the 46 victims.
This group is represented by George W. Kurr, Jr., Esq., at Gross,
Minsky & Mogul, P.A.; Daniel C. Cohn, Esq., at Murtha Cullina LLP;
Peter J. Flowers, Esq., at Meyers & Flowers, LLC; Jason C.
Webster, Esq., at The Webster Law Firm; and Mitchell A. Toups,
Esq., at Weller, Green Toups & Terrell LLP.

After the U.S. Trustee formed the Official Committee, the ad hoc
committee filed papers asking the U.S. Court to have the official
committee disbanded.  The ad hoc group said it represents 46
victims of the disaster.

On Jan. 23, 2014, the Debtors won authorization to sell
substantially all of their assets to Railroad Acquisition Holdings
LLC, an affiliate of New York-based Fortress Investment Group, for
$15.7 million.  The Bankruptcy Courts in the U.S. and Canada
approved the sale.  The Fortress unit is represented by Terence M.
Hynes, Esq., and Jeffrey C. Steen, Esq., at Sidley Austin LLP.

On Jan. 29, 2014, an ad hoc group of wrongful-death claimants
submitted a plan, which would give 75% of the $25 million in
available insurance to the families of those who died after an
unattended train derailed in Lac-Megantic, Quebec, in July.  The
other 25% would be earmarked for claimants seeking compensation
for property that was damaged when much of the town burned.
Former U.S. Senator George Mitchell, a Democrat who represented
Maine in the U.S. Senate from 1980 to 1995 and who is now chairman
emeritus of law firm DLA Piper LLP, would administer the plan and
lead the effort to wrap up MM&A's Chapter 11 bankruptcy.

As reported by the Troubled Company Reporter on April 3, 2014,
Judge Kornreich ruled that the unofficial committee of wrongful
death claimants and its counsel have failed to comply with Rule
2019 of the Federal Rules of Bankruptcy Procedure, and as a result
of that failure, the Unofficial Committee and its counsel will not
be heard on any pending matter in the case.

As reported by the TCR on April 11, 2014, Judge Kornreich rejected
the disclosure statement for the Plan filed by the ad hoc group of
wrongful-death claimants, holding that the Plan is flawed and
unconfirmable.


MONTREAL MAINE: Rail Crash Victims Keep $3.8 Million of Insurance
-----------------------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that the U.S. Bankruptcy Appellate Panel upheld a
lower court by ruling that Wheeling & Lake Erie Railway Co.'s
security interest in inventory and accounts receivable didn't cover
insurance recoveries, which ruling will allow creditors of Montreal
Maine & Atlantic Railway Ltd. to keep $3.8 million to cover some of
their losses.

The Bloomberg report recalled that in April, the bankruptcy judge
in Bangor, Maine ruled that Wheeling & Lake Erie didn't have a
valid secured claim against $3.8 million paid by Travelers Property
Casualty Co. of America under a policy providing property and
business-interruption insurance.

The appeal was Wheeling & Lake Erie Railway Co. v. Keach (In re
Montreal Maine & Atlantic Railway Ltd.), 14-033, U.S. Bankruptcy
Appellate Panel for the First Circuit (Boston).

                       About Montreal Maine

Montreal, Maine & Atlantic Railway Ltd., the railway company that
operated the train that derailed and exploded in July 2013,
killing 47 people and destroying part of Lac-Megantic, Quebec,
sought bankruptcy protection in U.S. Bankruptcy Court in Bangor,
Maine (Case No. 13-10670) on Aug. 7, 2013, with the aim of selling
its business.  Its Canadian counterpart, Montreal, Maine &
Atlantic Canada Co., meanwhile, filed for protection from
creditors in Superior Court of Quebec in Montreal.

Robert J. Keach, Esq., at Bernstein, Shur, Sawyer, and Nelson,
P.A., has been named as chapter 11 trustee.  His firm serves as
his chapter 11 bankruptcy counsel, led by Michael A. Fagone, Esq.,
and D. Sam Anderson, Esq.  Development Specialists, Inc., serves
as the Chapter 11 trustee's financial advisor.  Gordian Group,
LLC, serves as the Chapter 11 Trustee's investment banker.

U.S. Bankruptcy Judge Louis H. Kornreich has been assigned to the
U.S. case.  The Maine law firm of Verrill Dana served as counsel
to MM&A.  It now serves as counsel to the Chapter 11 Trustee.

Justice Martin Castonguay oversees the case in Canada.

The Canadian Transportation Agency suspended the carrier's
operating certificate after the accident, due to insufficient
liability coverage.

The town of Lac-Megantic, Quebec, has sought financial aid to
restore the gutted community and a civil complaint alleges a
failure to take steps to prevent a derailment.

In the Canadian case, Andrew Adessky at Richter Consulting has
been appointed CCAA monitor.  The CCAA Monitor is represented by
Sylvain Vauclair at Woods LLP.  MM&A Canada is represented by
Patrice Benoit, Esq., at Gowling LaFleur Henderson LLP.

The U.S. Trustee appointed a four-member official committee of
derailment victims.  The Official Committee is represented by:
Richard P. Olson, Esq., at Perkins Olson; and Luc A. Despins,
Esq., at Paul Hastings LLP.

There's also an unofficial committee of wrongful death claimants
consisting of representatives of the estates of the 46 victims.
This group is represented by George W. Kurr, Jr., Esq., at Gross,
Minsky & Mogul, P.A.; Daniel C. Cohn, Esq., at Murtha Cullina LLP;
Peter J. Flowers, Esq., at Meyers & Flowers, LLC; Jason C.
Webster, Esq., at The Webster Law Firm; and Mitchell A. Toups,
Esq., at Weller, Green Toups & Terrell LLP.

After the U.S. Trustee formed the Official Committee, the ad hoc
committee filed papers asking the U.S. Court to have the official
committee disbanded.  The ad hoc group said it represents 46
victims of the disaster.

On Jan. 23, 2014, the Debtors won authorization to sell
substantially all of their assets to Railroad Acquisition Holdings
LLC, an affiliate of New York-based Fortress Investment Group, for
$15.7 million.  The Bankruptcy Courts in the U.S. and Canada
approved the sale.  The Fortress unit is represented by Terence M.
Hynes, Esq., and Jeffrey C. Steen, Esq., at Sidley Austin LLP.

On Jan. 29, 2014, an ad hoc group of wrongful-death claimants
submitted a plan, which would give 75% of the $25 million in
available insurance to the families of those who died after an
unattended train derailed in Lac-Megantic, Quebec, in July.  The
other 25% would be earmarked for claimants seeking compensation
for property that was damaged when much of the town burned.
Former U.S. Senator George Mitchell, a Democrat who represented
Maine in the U.S. Senate from 1980 to 1995 and who is now chairman
emeritus of law firm DLA Piper LLP, would administer the plan and
lead the effort to wrap up MM&A's Chapter 11 bankruptcy.

As reported by the Troubled Company Reporter on April 3, 2014,
Judge Kornreich ruled that the unofficial committee of wrongful
death claimants and its counsel have failed to comply with Rule
2019 of the Federal Rules of Bankruptcy Procedure, and as a result
of that failure, the Unofficial Committee and its counsel will not
be heard on any pending matter in the case.

As reported by the TCR on April 11, 2014, Judge Kornreich rejected
the disclosure statement for the Plan filed by the ad hoc group of
wrongful-death claimants, holding that the Plan is flawed and
unconfirmable.


NNN 1818 MARKET STREET: Schedules & Statement Due Jan. 20
---------------------------------------------------------
NNN 1818 Market Street 16, LLC, filed a bare-bones Chapter 11
bankruptcy petition (Bankr. C.D. Cal. Case No. 15-10111) in Los
Angeles on Jan. 5, 2015.

The Debtor, a Single Asset Real Estate as defined in 11 U.S.C. Sec.
101(51B), estimated $10 million to $50 million in assets and debt.

The formal schedules of assets and liabilities and the statement of
financial affairs are due Jan. 20, 2015.

The Debtor has tapped John L. Smaha, Esq., at Smaha Law Group, in
San Diego, as counsel.


NNN 1818 MARKET: Case Summary & 18 Largest Unsecured Creditors
--------------------------------------------------------------
Debtor: NNN 1818 Market Street 16, LLC, a Delaware Limited         

        Liability Company
        2001 Wilshire Boulevard, Ste. 250
        Santa Monica, CA 90403

Case No.: 15-10111

Type of Business: Single Asset Real Estate

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Central District of California (Los Angeles)

Debtor's Counsel: John L. Smaha, Esq.
                  SMAHA LAW GROUP
                  2398 San Diego Avenue
                  San Diego, CA 92110
                  Tel: 619-688-1557
                  Fax: 619-688-1558
                  Email: jsmaha@smaha.com

Estimated Assets: $10 million to $50 million

Estimated Debts: $10 million to $50 million

The petition was signed by Gabor Csupo, manager.

List of Debtor's 18 Largest Unsecured Creditors:

   Entity                          Nature of Claim   Claim Amount
   ------                          ---------------   ------------
A & S Sprinkler Co., Inc.              Trade             $1

Allied Barton Security                 Trade             $1

American Anchor                        Trade             $1

APEX Elevator Inspection & Testing     Trade             $1

Brocks Fire Protection, Inc.           Trade             $1

Caryl Technologies, Inc.               Trade             $1

Connell-Greene Consulting, Inc.        Trade             $1

CTR Parking Solutions, LLC             Trade             $1

E.J.W. Restoration, LLC                Trade             $1

Energy Management Systems, Inc.        Trade             $1

Fairborn Equipment Co. Mid-Atlantic    Trade             $1

Huneke                                 Trade             $1

INX Technology Corporation             Trade             $1

Paul Rabinowitz Glass Co., Inc.        Trade             $1

S & H Interlorscapes                   Trade             $1

Siemens Industry, Inc.                 Trade             $1

UniFirst Corporation                   Trade             $1

Waste Management, Inc.                 Tade              $1


NSB ADVISORS: Voluntary Chapter 11 Case Summary
-----------------------------------------------
Debtor: NSB Advisors LLC
        200 Westage Business Center
        Suite 228
        Fishkill, NY 12524

Case No.: 15-35009

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Southern District of New York (Poughkeepsie)

Judge: Hon. Cecelia G. Morris

Debtor's Counsel: Alan D. Halperin, Esq.
                  HALPERIN BATTAGLIA RAICHT, LLP
                  40 Wall Street - 37th Floor
                  New York, NY 10005
                  Tel: (212) 765-9100
                  Fax: (212) 765-0964

Estimated Assets: $500,000 to $1 million

Estimated Liabilities: $10 million to $50 million

The petition was signed by William F. Nicklin, manager.

The Debtor did not include a list of its largest unsecured
creditors when it filed the petition.


ONE SOURCE INDUSTRIAL: Mgt. Provider Follows Parent to Bankruptcy
-----------------------------------------------------------------
One Source Industrial LLC followed its parent, One Source
Industrial Holdings, LLC, into Chapter 11 bankruptcy.

Industrial is a Texas limited liability company that provides
executive management, accounting, and overhead services for various
affiliated entities which, in turn, provide rental equipment and
industrial services to businesses in the oil and gas, refining,
manufacturing, pipeline, shipping and construction industries.
Essentially, Industrial performs all non-operating activities on
behalf of its affiliates, including performing executive
management, accounting, cash management, human resources,
information technology, safety and compliance, insurance, employee
benefits, legal and other related functions.

The Debtor's financial and cash management services include
administering the sale of account of certain of Industrial's
affiliates, which have ongoing operations, to a purchaser, Amegy
Bank National Association d/b/a/ Amegy Bank Business Credit, who
disburses the resulting proceeds into the operating subsidiaries'
accounts.  At the end of each day, any remaining funds held in the
operating affiliates' accounts after the payment of its operating
expenses are swept back into the Debtor's account.  The funds swept
into the Debtor's account are then used as needed to fund the
ongoing operations of the Debtor and its affiliates.
Alternatively, if the accounts of the operating entities have a
negative balance at the end of the day, funds are swept from the
Debtor's account into the operating entities' accounts to bring the
balance to zero.  Consequently, as to the operating entities whose
accounts are being sold to Amegy, the Debtor and affiliated
entities utilize "zero balance" accounting whereby the accounts of
the operating affiliates are always maintained at zero and any
available excess funds are pooled in the Debtor's account for the
benefit and use all of the affiliated One Source entities.

Prior to the Petition Date, the Debtor and its affiliated entities
experienced cash flow problems precipitated, in part, by (a) the
terms of their respective financing agreements, and (b) the
precipitous drop in oil prices and its negative impact on oil and
gas and related business activity.  The Debtor commenced this
bankruptcy case to preserve and maximize the value of its
operations and assets, preserve the jobs of its employees, and
obtain the time necessary to formulate a plan of reorganization
that will maximize the return to legitimate creditors.

                    About One Source Industrial

One Source Industrial Holdings, LLC, and One Source Industrial LLC
are both limited liability companies that are part of a corporate
family of affiliated companies.

One Source Industrial Holdings holds equipment utilized by various
related entities which provide rental equipment and industrial
services to businesses in the oil and gas, refining, manufacturing,
pipeline, shipping, and construction industries.  The types of
equipment possessed by One Source include, e.g., hazardous material
transportation vehicles, frac tanks, tank trailers, barrel mix tank
and vacuum tankers, air machines, and waste and other industrial
boxes and tanks.  Industrial provides executive management,
accounting, and overhead services for Holdings.

Holdings sought Chapter 11 bankruptcy protection (Bankr. N.D. Tex.
Case No. 14-44996) in Ft. Worth, Texas, on Dec. 16, 2014.  One
Industrial sought Chapter 11 bankruptcy protection (Bankr. N.D.
Tex. Case No. 15-400038) on Jan. 4, 2015.

Holdings' case is assigned to Judge Russell F. Nelms.

The Debtors each estimated $10 million to $50 million in assets and
debt.

The Debtors are represented by J. Robert Forshey, Esq., and Suzanne
K. Rosen, Esq., at Forshey & Prostok, LLP, in Ft. Worth, Texas.

No creditor's committee has been appointed in the cases.  Further,
no trustee or examiner has been requested or appointed in the
Debtors' Chapter 11 cases.


ONE SOURCE INDUSTRIAL: Two Debtors Seek Joint Administration
------------------------------------------------------------
One Source Industrial Holdings, LLC, sought bankruptcy protection
in December, and One Source Industrial LLC filed a month later.
They are now asking the U.S. Bankruptcy Court for the Northern
District of Texas to enter an order directing the joint
administration of their respective Chapter 11 cases.

                    About One Source Industrial

One Source Industrial Holdings, LLC, and One Source Industrial LLC
are both limited liability companies that are part of a corporate
family of affiliated companies.

One Source Industrial Holdings holds equipment utilized by various
related entities which provide rental equipment and industrial
services to businesses in the oil and gas, refining, manufacturing,
pipeline, shipping, and construction industries.  The types of
equipment possessed by One Source include, e.g., hazardous material
transportation vehicles, frac tanks, tank trailers, barrel mix tank
and vacuum tankers, air machines, and waste and other industrial
boxes and tanks.  Industrial provides executive management,
accounting, and overhead services for Holdings.

Holdings sought Chapter 11 bankruptcy protection (Bankr. N.D. Tex.
Case No. 14-44996) in Ft. Worth, Texas, on Dec. 16, 2014.  One
Industrial sought Chapter 11 bankruptcy protection (Bankr. N.D.
Tex. Case No. 15-400038) on Jan. 4, 2015.

Holdings' case is assigned to Judge Russell F. Nelms.

The Debtors each estimated $10 million to $50 million in assets and
debt.

The Debtors are represented by J. Robert Forshey, Esq., and Suzanne
K. Rosen, Esq., at Forshey & Prostok, LLP, in Ft. Worth, Texas.

No creditor's committee has been appointed in the cases.  Further,
no trustee or examiner has been requested or appointed in the
Debtors' Chapter 11 cases.


ONE SOURCE INDUSTRIAL: Wants Amegy Factoring Agreement Extended
---------------------------------------------------------------
One Source Industrial LLC is asking the Bankruptcy Court to approve
an extension of a prepetition of factoring agreement with Amegy
Bank National Association on a postpetition basis.

Prior to the Petition Date, on Sept. 17, 2012, the Debtor and its
affiliates entered into a Purchase and Sale Agreement/Security
Agreement with Amegy.  Industrial provided treasury and cash
management services for Industrial and its related entities, and
routinely sold the accounts receivable arising from the operations
of the operating affiliates to Amegy pursuant to the Factoring
Agreement.  The process of selling the receivables under the
Factoring Agreement was administered exclusively by the Debtor on
behalf of the affiliates.

Under the Factoring Agreement, the purchase price for the Operating
Affiliates' receivables sold by the Debtor to Amegy was 85 percent
of the gross amount of the invoices, and the remaining 15 percent,
which represented a factoring fee paid to Amegy and is referred to
in the Factoring Agreement as a discount.

Beginning on Oct. 27, 2014, as an accommodation to Industrial,
Amegy agreed to change the 85%/15% purchase price to discount ratio
to a 90%/10% ratio for a 120-day period.  If the extension of the
Factoring Agreement is approved by the Court, the accommodation
period will expire on Feb. 24, 2015.  Moreover, on Dec. 8, 2014,
Amegy began applying any rebates of the Discount above the amount
needed to fully fund its reserve account, and thus payable to the
Debtor and its affiliates under the Factoring Agreement, to reduce
its exposure on certain older, outstanding batch Receivables (the
"Rebate Retention").  The Rebate Retention was done by Amegy
pending Court approval of the extension of the Factoring Agreement
and will not continue on a postpetition basis.

Finally, the Factoring Agreement grants Amegy a security interest
in the presently owned and thereafter acquired accounts and
accounts receivable of the Debtor, Holdings and the affiliated
Operating Entities.  Since the Debtor does not sell any
Receivables, the net effect of this is to grant a security interest
in favor of Amegy in both the Sweep Account and any Debtor DIP
accounts.  However, the Factoring Agreement pertains only to
Receivables actually sold by the Debtor, Holdings, and their
affiliates and purchased by Amegy by mutual agreement.

Subject to Bankruptcy Court approval, the Debtor, Holdings, and
their non-debtor affiliates wish to extend and employ the Factoring
Agreement with Amegy on a postpetition basis.  If the postpetition
use of the Factoring Agreement is approved by the Court, the Debtor
will continue to facilitate the sale of the Operating Affiliates'
Receivables to Amegy, and the funds obtained from the sale of such
Receivables will continue to be deposited into the accounts of the
Operating Affiliates, and subsequently swept into the Debtor's
sweep account to pay the operating expenses of the Debtor,
Holdings, and the Operating Affiliates.  

The 85%/15% Purchase Price to Discount ratio would resume on Feb.
24, 2015, after the expiration of the 120-day accommodation
period.

J. Robert Forshey, Esq., at Forshey & Prostok, LLP, in Ft. Worth,
Texas, explains that it was not possible for the Debtor to obtain
postpetition working capital financing on an unsecured basis
pursuant to Sec. 364(a) or (b) of the Bankruptcy Code.  The Debtor
has no ongoing business operations of its own and generates none of
the Receivables.  Based upon the experience of the Debtor's counsel
and management, the Debtor has no other basis to obtain operating
funds other than by monetizing the Receivables of the Operating
Entities and using these funds to pay for ongoing operations.

                    About One Source Industrial

One Source Industrial Holdings, LLC, and One Source Industrial LLC
are both limited liability companies that are part of a corporate
family of affiliated companies.

One Source Industrial Holdings holds equipment utilized by various
related entities which provide rental equipment and industrial
services to businesses in the oil and gas, refining, manufacturing,
pipeline, shipping, and construction industries.  The types of
equipment possessed by One Source include, e.g., hazardous material
transportation vehicles, frac tanks, tank trailers, barrel mix tank
and vacuum tankers, air machines, and waste and other industrial
boxes and tanks.  Industrial provides executive management,
accounting, and overhead services for Holdings.

Holdings sought Chapter 11 bankruptcy protection (Bankr. N.D. Tex.
Case No. 14-44996) in Ft. Worth, Texas, on Dec. 16, 2014.  One
Industrial sought Chapter 11 bankruptcy protection (Bankr. N.D.
Tex. Case No. 15-400038) on Jan. 4, 2015.

Holdings' case is assigned to Judge Russell F. Nelms.

The Debtors each estimated $10 million to $50 million in assets and
debt.

The Debtors are represented by J. Robert Forshey, Esq., and Suzanne
K. Rosen, Esq., at Forshey & Prostok, LLP, in Ft. Worth, Texas.

No creditor's committee has been appointed in the cases.  Further,
no trustee or examiner has been requested or appointed in the
Debtors' Chapter 11 cases.


OPEN TEXT: S&P Rates New $600MM Sr. Unsecured Notes 'BB'
--------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its 'BB'
issue-level rating, and '5' recovery rating, to Waterloo,
Ont.-based Open Text Corp.'s proposed US$600 million senior
unsecured notes due 2025.  The notes will be issued by Open Text
and guaranteed by the borrowers and guarantors of the company's
credit facilities.  Nonguarantors at close of the transaction will
represent approximately 27% of Open Text's consolidated revenue and
approximately 3% of consolidated EBITDA.  The '5' recovery rating
on the debt indicates S&P's expectation for modest (10%-30%)
recovery in the event of a default.  The company has leeway to
increase the notes offering to approximately US$750 million without
affecting the recovery or issue-level ratings on the notes.

S&P expects Open Text to use the net proceeds to repay its existing
term loan A and for general corporate purposes, including potential
acquisitions.  The issue-level rating on the first-lien secured
debt, which will include the company's recently upsized revolver
(to US$300 million from US$100 million) and term loan B at close of
the transaction, is unchanged at 'BBB', with a '1' recovery
rating.

"We base our 'BB+' long-term corporate credit rating and stable
outlook on Open Text on our assessment of its business risk profile
as fair and its financial risk profile as intermediate," said
Standard & Poor's credit analyst David Fisher.

The financing transaction will have only a modest impact on
Standard & Poor's adjusted debt-to-EBITDA at close of the
transaction.  S&P expects funds in excess of those used to repay
the company's term loan A to be deployed for near-term
acquisitions, including the recently signed agreement to purchase
Actuate Corp., for net consideration of approximately US$272
million.  This should result in leverage remaining in the 2x-3x
range, consistent with S&P's expectation for the ratings.

S&P's "fair" business risk profile assessment on Open Text reflects
the company's solid market position as a leading provider of
enterprise content management and enterprise information management
solutions.  Open Text benefits from a large base of high-margin
maintenance revenues and a growing cloud-based business that
generates recurring billings.  The company also has favorable
customer, end-market, and geographic diversity.  These strengths
are in part offset by the company's modest scale and limited
business breadth, as well as the intensely competitive operating
environment in which it operates.  Open Text also has some
concentration risk to key partners.

S&P's "intermediate" financial risk profile assessment on Open Text
reflects S&P's expectation that the company will pursue financial
policies such that adjusted debt-to-EBITDA remains in the 2x-3x
range in the next few years.  Although S&P believes leverage could
temporarily fall below this level if acquisition activity subsides,
S&P expects the company to maintain credit metrics consistent with
an intermediate financial risk profile in the medium term.

RATINGS LIST

Open Text Corp.
Corporate credit rating        BB+/Stable/--

Ratings assigned
Proposed US$600M sr unsecured notes   BB
Recovery rating                      5



PALOMBA WEINGARTEN: Firm Hit With $129M Legal Malpractice Suit
--------------------------------------------------------------
Law360 reported that Steptoe & Johnson LLP and a onetime partner of
the firm were hit with a $129 million legal malpractice suit in
California court, in which they are accused of failing to properly
advocate for developers in a fight to secure big claims against a
bankrupt mutual fund executive.

According to the report, Pointe San Diego Residential Community LP
and Gosnell Builders Corp. accuse the firm and its former partner,
Robbin L. Itkin, of passively allowing former mutual fund CEO
Palomba "Pam" Weingarten to transfer a multimillion dollar
residence.

After years of litigation in state court, Palomba Weingarten filed
a chapter 11 petition (Bankr. C.D. Calif. Case No. 04-16437) on
Oct. 1, 2004, and the case was converted to a chapter 7 liquidation
proceeding on Aug. 31, 2009.  David A. Gill, Esq., at Danning,
Gill, Diamond & Kolitz in Los Angeles serves as the chapter 7
trustee in this on-going liquidation proceeding.


PEREGRINE FINANCIAL: US Bank Settles With CFTC
----------------------------------------------
Law360 reported that an Iowa federal judge agreed to dismiss a suit
brought by the U.S. Commodity Futures Trading Commission against
U.S. Bank NA after the two parties agreed to settle claims that the
bank aided bankrupt Peregrine Financial Group Inc.'s former CEO in
misappropriating $215 million in customer funds.

According to the report, Chief District Judge Linda R. Reade
dismissed with prejudice the suit, which was set for trial on Jan.
5.  The terms of the settlement remain a secret, but the CFTC
originally sought $36 million in recompense from U.S. Bank, the
report related.

The case is US Commodity Futures Trading Commission v. US Bank, NA,
Case No. 6:13-cv-02041 (N.D. Iowa).

                    About Peregrine Financial

Peregrine Financial Group Inc. filed to liquidate under Chapter 7
of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 12-27488)
on July 10, 2012, disclosing between $500 million and $1 billion
of assets, and between $100 million and $500 million of
liabilities.

Earlier that day, at the behest of the U.S. Commodity Futures
Trading Commission, a U.S. district judge appointed a receiver and
froze the firm's assets.  The firm put itself into bankruptcy
liquidation in Chicago later the same day.  The CFTC had sued
Peregrine, saying that more than $200 million of supposedly
segregated customer funds had been "misappropriated."  The CFTC
case is U.S. Commodity Futures Trading Commission v. Peregrine
Financial Group Inc., 12-cv-5383, U.S. District Court, Northern
District of Illinois (Chicago).

Peregrine's CEO Russell R. Wasendorf Sr. unsuccessfully attempted
suicide outside a firm office in Cedar Falls, Iowa, on July 9.

The bankruptcy petition was signed in his place by Russell R.
Wasendorf Jr., the firm's chief operating officer. The resolution
stated that Wasendorf Jr. was given a power of attorney on July 3
to exercise if Wasendorf Sr. became incapacitated.

Peregrine Financial is the regulated unit of the brokerage
PFGBest.


PHH CORP: Fitch Affirms Then Withdraws 'BB-' Long-term IDR
----------------------------------------------------------
Fitch Ratings has affirmed PHH Corporation's (PHH) long-term Issuer
Default Rating (IDR) and senior unsecured debt ratings at 'BB-' and
the short-term IDR and commercial paper (CP) ratings at 'B'. The
Rating Outlook remains Negative. Fitch has simultaneously withdrawn
PHH's ratings for commercial reasons.

KEY RATING DRIVERS - IDRs and SENIOR DEBT

The affirmation of PHH's ratings follows the closing of the fleet
leasing business during the third-quarter of 2014 (3Q'14), which
generated net proceeds of $821 million, taking into account tax
payments of approximately $500 million related to the sale. A
portion of the proceeds from the sale were used to repay $420
million of PHH's outstanding senior unsecured notes while the
remaining proceeds, along with a portion of cash on the balance
sheet, are expected to be used to re-invest and re-engineer PHH's
mortgage origination and servicing business, and return capital to
shareholders, as part of PHH's previously announced strategic
plan.

PHH's IDRs reflect its established position in the prime mortgage
servicing industry and improved capitalization, leverage and
liquidity levels following the sale of the fleet leasing business.
The IDRs are constrained by the monoline nature of the business
model and the focus on the mortgage servicing and origination
industries, which are cyclical, low-margin businesses subject to
increased regulatory scrutiny. The ratings of senior unsecured debt
and CP are equalized with PHH's long-term and short-term IDRs,
reflecting solid coverage of unencumbered balance sheet assets for
all classes of debt.

The maintenance of the Negative Rating Outlook continues to reflect
the uncertainty and execution risk associated with PHH's ambitious
strategic plan, particularly in light of the inherently cyclical
nature of the mortgage origination business and the
capital-intensive nature and highly volatile GAAP earnings profile
of the mortgage servicing business. Furthermore, the overall
mortgage business remains subject to intense regulatory and
legislative scrutiny, which could potentially be a drain on cash
resources. Given the time it could take PHH to implement its
business plans and observe meaningful results, Fitch expected that
resolution of the Negative Outlook could be toward the outer end of
the 12-24 month Outlook horizon. As such, Fitch is unable to
resolve the Negative Outlook prior to the rating withdrawal.

GAAP earnings from continuing operations, which include fair market
changes to mortgage servicing rights (MSRs) but exclude PHH's
divested fleet operations, remain challenged due to current levels
of gain-on-sale margins, subpar economics of PLS contracts and fair
market changes in the MSR portfolio. PHH reported pretax losses of
$129 million in 3Q'14 compared to losses of $101 million one-year
prior. Fitch focuses on core earnings, which eliminate the impact
of unrealized (noncash) fair value adjustments to MSRs, which
better reflect PHH's ability to generate earnings. On this basis,
PHH generated core pretax losses of $92 million in 3Q'14 compared
to losses of $96 million, one-year prior.

Leverage, as measured by total debt to tangible equity, was 0.98x
as of Sept. 30, 2014, compared to 3.66x one-year prior, reflecting
the reduction in debt through the sale of the fleet leasing
business as well as the accelerated debt reduction by PHH through
the repayment of unsecured debt in 3Q'14. Fitch expects leverage
will increase modestly over time due to higher origination volumes
and announced share repurchases, but the funding needs of the
standalone mortgage business are expected to remain consistent with
the current ratings.

As of Sept. 30, 2014, PHH had $1.45 billion of unrestricted cash on
hand, and $250 million of investment securities, for a total of
$1.7 billion of unrestricted cash and cash equivalents. Fitch views
PHH's liquidity as temporarily elevated, as the company has
identified the following uses for its excess liquidity: up to $200
million for re-engineering the mortgage business; up to $150
million for growth initiatives; and $250 million for additional
share buybacks. Taking into account these cash uses, PHH estimates
that it will have $140 million of excess liquidity remaining above
its estimated $875 million in key cash requirements. Overall, Fitch
views PHH's liquidity profile as adequate.

RATING SENSITIVITIES - IDRS AND SENIOR DEBT

Inability to renegotiate existing private label contracts at more
favorable economic terms, loss of clients, weakening in PHH's
competitive position, and/or sustained operating losses would be
viewed negatively. In addition, a sustained increase in leverage,
reduction in liquidity due to higher than expected operational and
contingency needs, or higher than planned share repurchases would
also be viewed negatively.

Successful execution of management's strategic objectives as
measured by strengthened competitive position, successful client
contract negotiations, and sustained increased in earnings and cash
flows, while maintaining appropriate capital and liquidity levels
would be viewed positively.

Fitch affirms and withdraws the following ratings:

PHH Corporation

-- Long-term IDR at 'BB-';
-- Short-term IDR at 'B';
-- Senior unsecured debt at 'BB-';
-- Commercial paper at 'B'.

The Rating Outlook is Negative.


PINKBERRY MIDATLANTIC: Files for Chapter 7 Liquidation
------------------------------------------------------
Pinkberry Midatlantic LLC filed for Chapter 7 liquidation (Bankr.
E.D. Va. Case No. 14-14770) on Dec. 26, 2014, estimating assets
between $500,000 and $1 million, and liabilities between $1 million
and $10 million.  

The Petition was filed at the request of the franchiser, Los
Angeles-based Pinkberry Inc., Rebecca Cooper at Washington Business
Journal reports, citing John Paul Goetz, Esq., at John Goetz Law,
PLC, the attorney for the Company.  According to the report, Mr.
Goetz said he is not sure whether any local locations would remain
open long-term.  The report adds that some of the stores could be
taken over by the corporate franchiser.

The Company's creditors are expected to meet in February, according
to Business Journal.  Aaron Gregg at The Washington Post relates
that the Company's largest unsecured creditor is Branch Banking &
Trust Co., which is owed $313,934.

Mr. Goetz can be reached at:

      John Goetz Law, PLC
      75 West Lee Street, Suite 104
      Warrenton, Virginia 20186  
      Tel: (540) 359-6605

Pinkberry Midatlantic LLC, headquartered in Waterford, Virginia, is
a franchisee for several Pinkberry frozen yogurt stores, and is
controlled by Stavros Roberts.  It operates stores in Georgetown,
Dupont Circle, Arlington, Fairfax, Tysons Corner, Gainesville and
National Harbor.


PRETTY GIRL: Meeting of Creditors Set for Feb. 26
-------------------------------------------------
A meeting of creditors of Pretty Girl, Inc., is set to be held on
Feb. 26, at 11:00 a.m., according to a filing with the U.S.
Bankruptcy Court for the Southern District of New York.  The
meeting will be held at the Office of the U.S. Trustee, 80 Broad
Street, Fourth Floor, in New York.

The meeting is called the "341 meeting" after the section of the
Bankruptcy Code that requires it.

A representative of the company is required to appear at the
meeting and answer questions under oath.  The meeting is presided
over by the U.S. trustee, the Justice Department's bankruptcy
watchdog.

                        About Pretty Girl

Fashion retailer Pretty Girl, Inc., filed a Chapter 11 bankruptcy
petition (Bankr. S.D.N.Y. Case No. 14-11979) on July 2, 2014.  The
petition was signed by Albert Nigri as president.  The Debtor
disclosed total assets of $10.76 million and total liabilities of
$12.27 million.  Rosen & Associates, P.C., acts as the Debtor's
counsel.

The Official Committee of Unsecured Creditors tapped to retain Wilk
Auslander LLP as its conflicts counsel, CBIZ Accounting, Tax &
Advisory of New York, LLC and CBIZ, Inc. as its financial
advisors.



PUERTO RICO ELECTRIC: To Seek Extension to Bondholder Agreement
---------------------------------------------------------------
Reuters reported that Puerto Rico's electric power authority PREPA
is expected to ask bondholders to extend a forbearance agreement
set to expire at the end of next March, two sources familiar with
the ongoing negotiations said.  According to the Reuters report, a
presentation to the bondholders in New York in December highlighted
the extent of the problems facing PREPA and fell short of an
expected business plan.

Law360 reported that restructuring professionals charged with
finding a way forward for Puerto Rico's hopelessly indebted
electric utility reported progress on new revenue-boosting measures
connected to a creditor agreement that staves off defaults until
the spring.

According to the Law360 report, PREPA said that it has begun more
aggressive bill collection and re-examined its utility rates as
part of a three-month old restructuring effort.  In August, PREPA
cut deals with bank lenders and long-term bondholders to give it
time to fashion a workout of an unsustainable $8.6 billion debt
load, the Law360 report related.

                           *     *     *

The Troubled Company Reporter, on Dec. 15, 2014, reported that
Fitch is maintaining the $8.6 billion of Puerto Rico Electric Power
Authority (PREPA) power revenue bonds on Negative Rating Watch.
The bonds are currently rated 'CC'.

As reported in the Troubled Company Reporter on Sept. 19, 2014,
Moody's Investors Service has downgraded the rating for Puerto
Rico Electric Power Authority's (PREPA) $8.8 billion of Power
Revenue Bonds to Caa3 from Caa2. This rating action concludes the
rating review that Moody's initiated on July 1, 2014. PREPA's
rating outlook is negative.


QUANTUM FOODS: Committee Seeks Approval to Settle Avoidance Claims
------------------------------------------------------------------
Quantum Foods LLC's official committee of unsecured creditors has
filed joint motions seeking court approval to settle the company's
so-called avoidance claims.

The settlement agreements require AFCO Credit Corp., Bird-in-Hand
Farms Inc., Excellentia International, GEA Food Solutions North
America Inc., and Illinois American Water Co. to pay back the money
and assets they received from Quantum Foods within 90 days prior to
its bankruptcy filing.

Quantum Foods would receive a total of $82,428 if U.S. Bankruptcy
Judge Kevin Carey approved the settlements, according to a court
filing.

The motions are on Judge Carey's calendar for Jan. 22, 2015.

                      About Quantum Foods

Founded in 1990 and headquartered in Bolingbrook, Illinois,
Quantum Foods, LLC -- http://www.quantumfoods.com-- provides
protein products made from beef, poultry and pork.

Quantum Foods LLC and its affiliates sought Chapter 11 protection
(Bankr. D. Del. Lead Case No. 14-10318) on Feb. 18, 2014, to
facilitate the sale of substantially all their business to CTI
Foods Holding Co., LLC.

The Debtors' primary secured indebtedness totals $50.2 million,
owing to lenders led by Crystal Financial, LLC, as administrative
and collateral agent.

Quantum Foods is being advised in its restructuring by Daniel J.
McGuire, Esq., Gregory M. Gartland, Esq., and Caitlin S. Barr,
Esq., at Winston & Strawn as counsel; M. Blake Cleary, Esq.,
Kenneth J. Enos, Esq., and Andrew Magaziner, Esq., at Young,
Conaway, Stargatt & Taylor, LLP, serve as local counsel.  City
Capital Advisors is the investment banker.  FTI Consulting, Inc.
also serves as advisor. BMC Group is the claims and notice agent.

The U.S. Trustee for Region 3 appointed five members to the
official committee of unsecured creditors in the case.  The
Committee is seeking to retain Triton Capital Partners, Ltd. as
financial advisor; and Mark D. Collins, Esq., Russell C.
Silberglied, Esq., Michael J. Merchant, Esq., Christopher M. Samis,
Esq., and Robert C. Maddox, Esq., at Richards, Layton & Finger,
P.A. as counsel.

Raging Bull is represented in the case by Van C. Durrer II, Esq.,
at Skadden Arps Slate Meagher & Flom LLP.  Crystal Finance LLC is
represented by David S. Berman, Esq., at Riemer & Braunstein LLP.



RADIOSHACK CORP: Kept Alive by $25 Billion of Swaps Side Bets
-------------------------------------------------------------
Jodi Xu Klein, writing for Bloomberg News, reported that RadioShack
Corp. is finding an unlikely ally in its efforts to stay out of
bankruptcy: credit derivatives traders who amassed more than $25
billion of trades speculating how much longer it can keep paying
its bills.

According to the report, after a 60 percent surge in 2014, the
amount of credit-default swaps tied to RadioShack is 28 times its
debt, more than any other U.S. company.  When the retailer's
biggest shareholder arranged $585 million of funding in October to
help it survive the holidays, much of the money came from hedge
funds wagering on the company to avoid default, the Bloomberg
report said, citing people with knowledge of the trading.  Those
included DW Investment Management and Saba Capital Management, the
report cited the people as saying.

                     About Radioshack Corporation

RadioShack (NYSE: RSH) -- http://www.radioshackcorporation.com/--

is a national retailer of innovative mobile technology products
and services, as well as products related to personal and home
technology and power supply needs.  RadioShack's retail network
includes more than 4,300 company-operated stores in the United
States, 270 company-operated stores in Mexico, and approximately
1,000 dealer and other outlets worldwide.

Radioshack reported a net loss of $400.2 million in 2013, a net
loss of $139.4 million in 2012, and net income of $72.2 million in
2011.  The Company's balance sheet at Aug. 2, 2014, showed $1.14
billion in total assets, $1.21 billion in total liabilities and a
$63 million total shareholders' deficit.

                           *     *     *

As reported by the TCR on Sept. 15, 2014, Standard & Poor's
Ratings Services lowered its corporate credit rating on Fort
Worth, Texas-based RadioShack Corp. to 'CCC-' from 'CCC'.

"The downgrade comes as the company announced it will seek
capital, and that such a transaction could include a debt
restructuring in addition to store closures and other measures,"
said Standard & Poor's credit analyst Charles Pinson-Rose.

In the Sept. 16, 2014, edition of the TCR, the TCR reported that
Fitch Ratings had downgraded the Long-term Issuer Default Rating
(IDR) for RadioShack Corporation (RadioShack) to 'C' from 'CC'.
The downgrade reflects the high likelihood that RadioShack will
need to restructure its debt in the next couple of months.

The TCR reported on March 13, 2014, that Moody's Investors Service
downgraded RadioShack Corporation's corporate family rating to
Caa2 from Caa1.  "The continuing negative trend in RadioShack's
sales and margins has resulted in a precipitous drop in
profitability causing continued deterioration in credit metrics
and liquidity," Mickey Chadha, Senior Analyst at Moody's said.


RIDGEFIELD CHRISTIAN: Case Summary & 2 Top Unsecured Creditors
--------------------------------------------------------------
Debtor: Ridgefield Christian School, Inc.
        3824 Casey Springs Rd.
        Jonesboro, AR 72404

Case No.: 15-10029

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Eastern District of Arkansas (Jonesboro)

Judge: Hon. Audrey R. Evans

Debtor's Counsel: James F. Dowden, Esq.
                  JAMES F. DOWDEN, P.A.
                  212 Center Street, 10th Floor
                  Little Rock, AR 72201
                  Tel: (501) 324-4700
                  Fax: (501) 374-5463
                  Email: jfdowden@swbell.net

Total Assets: $1.69 million

Total Liabilities: $2.10 million

The petition was signed by Doug Imrie, school board vice
president.

A list of the Debtor's two largest unsecured creditors is available
for free at http://bankrupt.com/misc/areb15-10029.pdf


RLJ ENTERPRISES: Case Summary & 19 Largest Unsecured Creditors
--------------------------------------------------------------
Debtor: RLJ Enterprises, LLC.
        119 East Bridge Street
        Granbury, TX 76048

Case No.: 15-40101

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Northern District of Texas (Ft. Worth)

Debtor's Counsel: Russell W. King, Esq.
                  KING LAW OFFICE, P.C.
                  P.O. Box 772
                  Stephenville, TX 76401
                  Tel: (254) 968-8777
                  Fax: (254) 445-2751
                  Email: rking@kinglaw.us

Total Assets: $1.05 million

Total Liabilities: $708,802

The petition was signed by Melinda Jo Ray, owner/president.

A list of the Debtor's 19 largest unsecured creditors is available
for free at http://bankrupt.com/misc/txnb15-40101.pdf


ROTHSTEIN ROSENFELDT: Trustee Cleared to Distribute $13M In Claims
------------------------------------------------------------------
Law360 reported that a Florida bankruptcy judge approved $13
million in claims distributions by the liquidating trustee of
convicted Ponzi schemer Scott Rothstein's bankrupt law firm, but
said claims held by a group of hedge fund managers would be
withheld while the trustee's adversary suit seeking clarification
on their claims is pending.

According to the report, U.S. Bankruptcy Judge Raymond Ray signed
off on Rothstein Rosenfeldt Adler PA liquidating trustee Michael
Goldberg's request to make distributions to holders of class 2 and
class 3 claims, who already received 72.5 percent of their allowed
claims in August 2013, and will get the remaining balance in this
next distribution.

But the judge told the trustee to hold off on distributing $7.7
million to a group of hedge fund managers whose class 3 claims have
been called into question by a group of investors led by Razorback
Funding LLC that are known as the Razorback plaintiffs, the report
related.  The investors' assertions that the funds' claims should
be reduced because of recoveries from settlements with TD Bank NA
led the trustee to file an adversary suit in December asking for
clarification from the court on the issue, the report said.

                    About Rothstein Rosenfeldt

Scott Rothstein, co-founder of law firm Rothstein Rosenfeldt Adler
PA -- http://www.rra-law.com/-- was suspected of running a  
$1.2 billion Ponzi scheme.  U.S. authorities claimed in a civil
forfeiture lawsuit filed Nov. 9, 2009, that Mr. Rothstein, the
firm's former chief executive officer, sold investments in non-
existent legal settlements.  Mr. Rothstein pleaded guilty to five
counts of conspiracy and wire fraud on Jan. 27, 2010.

Creditors of Rothstein Rosenfeldt Adler signed a petition sending
the Florida law firm to bankruptcy (Bankr. S.D. Fla. Case No.
09-34791).  The petitioners include Bonnie Barnett, who says she
lost $500,000 in legal settlement investments; Aran Development,
Inc., which said it lost $345,000 in investments; and trade
creditor Universal Legal, identified as a recruitment firm, which
said it is owed $7,800.  The creditors alleged being owed money
invested in lawsuit settlements.

Herbert M. Stettin, the state-court appointed receiver for
Rothstein Rosenfeldt, was officially carried over as the
Chapter 11 trustee in the involuntary bankruptcy case.

On June 10, 2010, Mr. Rothstein was sentenced to 50 years in
prison.

The official committee of unsecured creditors appointed in the
case is represented by Michael Goldberg, Esq., at Akerman
Senterfitt.

RRA won approval of an amended liquidating Chapter 11 plan
pursuant to the Court's July 17, 2013 confirmation order.  The
revised plan, filed in May, is centered around a $72.4 million
settlement payment from TD Bank NA.


SAINT MICHAEL MOTOR: Bid to Withdraw Bankruptcy Reference Nixed
---------------------------------------------------------------
The adversary proceeding commenced by Marianna Williams, the
Chapter 7 trustee for debtor Saint Michael Motor Express, against
defendants Flying J, Inc., et al., will stay in bankruptcy court
for the Western District of Tennessee after Chief District Judge J.
Daniel Breen denied a joint motion of the parties to withdraw the
bankruptcy reference.

Other defendants in the case are FJ Management, Inc. d/b/a Flying
J, Inc.; Flying J Insurance Services, Inc. or its successor, the
Buckner Company; Carolina Casualty Insurance Company;
Transportation Alliance Bank, Inc.; Transportation Alliance
Leasing, LLC; TAB Bank, Inc.; TAB Bank, Inc. d/b/a Transportation
Alliance Leasing, LLC; Gresham & Associates, LLC; Gresham &
Associates, Inc.; Gresham & Associates of Indiana, Inc.; Jagjit
("J.J.") Singh; and Stephen Parker.

In the Adversary Proceeding, the trustee alleged that the
Defendants acted in concert to defraud Saint Michael and demanded a
jury trial.

The case before the District Court is, MARIANNA WILLIAMS,
Plaintiff, v. FLYING J INC., et al., Defendants, No. 14-1184 (W.D.
Tenn.).  A copy of the District Court's Dec. 31 Order is available
at http://is.gd/9GmHAOfrom Leagle.com.

Saint Michael Motor Express filed for Chapter 11 bankruptcy (Bankr.
W.D. Tenn. Case No. 08-11838) on May 22, 2008.  The case was
converted to a Chapter 7 liquidation on Oct. 13, 2009.

Saint Michael Motor Express is represented by:

     Henry C. Shelton, III, Esq.
     ADAMS AND REESE, LLP
     Crescent Center
     6075 Poplar Avenue, Suite 700
     Memphis, TN 38119
     Tel: 901-524-5271
     Fax: 901-524-5419
     E-mail: hank.shelton@arlaw.com

Plaintiff Marianna Williams is represented by:

     J. Houston Gordon, Esq.
     Amber Griffin Shaw, Esq.
     LAW OFFICES OF J. HOUSTON GORDON
     114 West Liberty Avenue
     Covington, TN 38019
     Tel: (901) 476-7100

          - and -

     John L. Ryder, Esq.
     HARRIS SHELTON HANOVER WALSH, PLLC
     40 South Main Street #2700
     Memphis, TN 38103
     Tel: (901) 525-1455
     E-mail: jryder@harrisshelton.com

Defendants Flying J, Inc., et al are represented by:

     Jonathan Edward Nelson, Esq.
     BASS BERRY & SIMS PLC
     The Tower at Peabody Place
     100 Peabody Place, Suite 900
     Memphis, TN 38103
     Tel: (901) 543-5988
     Fax: (877) 521-2817
     E-mail: jenelson@bassberry.com

Defendant Carolina Casualty Insurance Company is represented by:

     Carl Wyatt, Esq.
     James F. Horner, Jr., esq.
     GLASSMAN WYATT TUTTLE & COX, P.C.
     26 N. Second Street
     Memphis, TN 38103
     Tel: 901-527-4673
     E-mail: cwyatt@gewwlaw.com
             jhorner@gewwlaw.com

Defendants Transportation Alliance Bank, Inc., et al., are
represented by:

     David J. Harris, Esq.
     BURCH PORTER & JOHNSON
     130 North Court Avenue
     Memphis, TN 38103
     Tel: (901) 524-5120
     Fax: (901) 524-5024
     E-mail: dharris@bpjlaw.com

          - and -

     Douglas P. Farr, Esq.
     Michael A. Gehret, Esq.
     SNELL & WILMER L.L.P.
     Gateway Tower West
     15 West South Temple, Suite 1200
     Salt Lake City, UT 84101-1547
     Tel: 801-257-1863
     E-mail: dfarr@swlaw.com
             mgehret@swlaw.com

Defendants Gresham & Associates, LLC, et al., are represented by:

     S. Newton Anderson, Esq.
     THE LAW OFFICES OF DON G. DECOUDRES
     P.O. Box 36988
     100 Concourse Parkway, Suite # 155
     Birmingham, AL, 35236
     Tel: (205) 988-5463
     Fax: (205) 988-9538

Defendant Jagjit Singh is represented by:

     Alan C. Bradshaw, Esq.
     James E. Ji, Esq.
     MANNING CURTIS BRADSHAW & BEDNAR
     136 East South Temple, Suite 1300
     Salt Lake City, Utah 84111
     Tel: 801-363-5678
     Fax: 801-364-5678
     E-mail: abradshaw@mc2b.com
             jji@mc2b.com

          - and -

     Amber D. Floyd, Esq.
     Douglas M. Alrutz, Esq.
     WYATT TARRANT & COMBS, LLP
     1715 Aaron Brenner Drive, Suite 800
     Memphis, TN 38120
     Tel: 901-537-1071
     Fax: 901-537-1010
     E-mail: afloyd@wyattfirm.com
             dalrutz@wyattfirm.com


SAMUEL WYLY: Judge Won't Expand $188M Judgment In Fraud Case
------------------------------------------------------------
Law360 reported that a New York federal judge refused the U.S.
Securities and Exchange Commission's attempt to expand an earlier
$188 million judgment against Texas tycoon Sam Wyly and the estate
of his late brother, Charles Wyly Jr., in an alleged fraud scheme.


According to the report, U.S. District Judge Shira A. Scheindlin
told federal authorities to recalculate the figures in their
request for additional damages so that it wouldn't include a large
amount of allegedly ill-gotten gains from securities that were
never sold.

The SEC case is SEC v. Wyly et al., case number 1:10-cv-05760, in
the U.S. District Court for the Southern District of New York.

                        About Samuel Wyly

Samuel Wyly filed for Chapter 11 bankruptcy protection (Bankr. N.D.
Tex. Case No. 14-35043) on Oct. 19, 2014, weeks after a judge
ordered him to pay several hundred million dollars in a civil fraud
case.  In September, a federal judge ordered Mr. Wyly and the
estate of his deceased brother to pay more than $300 million in
sanctions after they were found guilty of committing civil fraud to
hide stock sales and nab millions of dollars in profits.



SAN BERNARDINO, CA: City Council Now Involved in Plan Discussions
-----------------------------------------------------------------
Ryan Hagen, writing for The Sun, reported that the city of San
Bernardino, in California, has a "work plan" to prepare its
bankruptcy exit plan, and it's been reviewed by the entire City
Council -- not just the small team that previously was allowed to
know details of the confidential mediation where much of the city's
bankruptcy plan has been ironed out.

According to the report, City Attorney Gary Saenz said the council
will now meet regularly with the bankruptcy team.  Mr. Saenz,
however, said that as mediation with creditors continues, the
council representatives will be subject to the confidentiality
order and will not be at liberty to discuss particulars.

                   About San Bernardino, Calif.

San Bernardino, California, filed an emergency petition for
municipal bankruptcy under Chapter 9 of the U.S. Bankruptcy Code
(Bankr. C.D. Cal. Case No. 12-28006) on Aug. 1, 2012.  San
Bernardino, a city of about 210,000 residents roughly 65 miles
(104 km) east of Los Angeles, estimated assets and debts of more
than $1 billion in the bare-bones bankruptcy petition.

The city council voted on July 10, 2012, to file for bankruptcy.
The move lets San Bernardino bypass state-required mediation with
creditors and proceed directly to U.S. Bankruptcy Court.

The city is represented that Paul R. Glassman, Esq., at Stradling
Yocca Carlson & Rauth.

San Bernardino joined two other California cities in bankruptcy:
Stockton, an agricultural center of 292,000 east of San Francisco,
and Mammoth Lakes, a mountain resort town of 8,200 south of
Yosemite National Park.

The City was granted Chapter 9 protection on Aug. 28, 2013.


SANDRINE'S LIMITED: Can Proceed with Jan. 28 Auction
----------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that a bankruptcy judge in Boston has approved the
procedures allowing Sandrine's Bistro, a French restaurant located
on Harvard Square in Cambridge, Massachusetts, to proceed with a
Jan. 28 auction of its assets.

According to the report, Bato Catering Inc. has agreed to pay
$480,000 cash and waive loans to buy almost all of the restaurant's
assets.  Jan. 16 is the deadline for competing bids, the report
said.  If no higher offer emerges, the court may approve the sale
to Bato Catering without a hearing, the report added.

Based in Cambridge, Massachusetts, Sandrine's Limited Liability
Company filed for Chapter 11 bankruptcy protection (Bankr. D. Mass.
Case No. 14-15702) on Dec. 10, 2014, disclosing $35,000 in assets
against $1.37 million in liabilities.  The petition was signed by
Gwyneth B. Trost, manager and the Debtor's majority owner. Judge
William C. Hillman presides over the case. Alex F. Mattera, Esq.,
at Demeo, LLP, serves as the Debtor's bankruptcy counsel.


SEARS METHODIST: Reaches Agreement With Texas Veterans Land Board
-----------------------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that Sears Methodist Retirement System Inc. has an
agreement to give up management responsibility for three facilities
owned by the Texas Veterans Land Board, in the process generating
$4 million for creditors.

According to the report, under the agreement, Veterans Land Board
will pay $4 million, representing money owed to Senior Dimensions
Inc., one of the bankrupt Sears Methodist affiliates, in connection
with the existing management agreements.  Any additional amounts
owed by VLB under the agreements will be paid after a 45-day audit,
the report related.

                      About Sears Methodist

As a leading Texas senior living icon established on Christian
principles, Sears Methodist Retirement System Inc. provides
secure, rewarding, and luxurious residency to seniors.  The system
includes: (i) eight senior living communities located in Abilene,
Amarillo, Lubbock, Odessa and Tyler, Texas; (ii) three veterans
homes located in El Paso, McAllen and Big Spring, Texas, managed
by Senior Dimensions, Inc., pursuant to contracts between SDI and
the Veterans Land Board of Texas; and (iii) Texas Senior
Management, Inc. ("TSM"), Senior Living Assurance, Inc. ("SLA")
and Southwest Assurance Company, Ltd. ("SWAC"), which provide, as
applicable, management and insurance services to the System.
Sears Methodist Senior Housing, LLC, is the general partner of,
and controls .01% of the interests in, Canyons Senior Living, L.P.
("CSL").

Sears Methodist and its affiliates sought protection under Chapter
11 of the Bankruptcy Code (Bankr. N.D. Tex. Lead Case No. 14-
32821) on June 10, 2014.  The cases are assigned to Judge Stacey
G. Jernigan.

The Debtors' counsel is Vincent P. Slusher, Esq., and Andrew
Zollinger, Esq., at DLA Piper LLP (US), in Dallas, Texas; and
Thomas R. Califano, Esq., Gabriella L. Zborovsky, Esq., and Jacob
S. Frumkin, Esq., at DLA Piper LLP (US), in New York.  The
Debtors' financial advisor is Alvarez & Marsal Healthcare Industry
Group, LLC, while the Debtors' investment banker is Cain Brothers
& Company, LLC.  The Debtors' notice, claims and solicitation
agent is GCG Inc.

The Debtors have sought and obtained an order authorizing joint
administration of their Chapter 11 cases.

The U.S. Trustee has appointed five members to the Official
Committee of Unsecured Creditors.  The Committee is represented by
Clifton R. Jessup, Jr., Esq., and Bryan L. Elwood, Esq., at
Greenberg Traurig, LLP, in Dallas, Texas.


SENTINEL MANAGEMENT: Feds Seek Stiff Sentence For 'Greedy' Exec
---------------------------------------------------------------
Law360 reported that a former Sentinel Management Group Inc.
executive who cooperated with the government should spend 10 years
in prison and repay $665 million in customer funds lost in a
futures scheme that bankrupted the firm in 2007, Illinois federal
prosecutors recommended.

According to the report, the prosecutors requested that Charles K.
Mosley, Sentinel's former vice president and head trader who
cooperated in the government's case against ex-CEO Eric A. Bloom,
be sentenced to the statutory maximum prison term allowed under a
plea bargain he accepted in October 2013.

The case is USA v. Bloom et al., Case No. 1:12-cr-00409 (N.D.
Ill.).

                     About Sentinel Management

Based in Northbrook, Illinois, Sentinel Management Group Inc. --
http://www.sentinelmgi.com/-- was a full service firm offering a  
variety of security solutions.  The Company filed a voluntary
Chapter 11 petition (Bankr. N.D. Ill. Case No. 07-14987) on
Aug. 17, 2007.  Ronald Barliant, Esq., Randall Klein, Esq., and
Kathryn A. Pamenter, Esq., at Goldberg, Kohn, Bell & Black
Rosenbloom & Moritz, Ltd., represented the Debtor.  Lawyers at
Quinn, Emanuel Urquhart Oliver & Hedges, LLP, represented the
Official Committee of Unsecured Creditors.  When the Debtor sought
bankruptcy protection, it estimated assets and debts of more than
$100 million.

On Aug. 28, 2007, the Court approved Frederick Grede as the
Debtor's Chapter 11 Trustee.  Marc I. Fenton, Esq., at DLA Piper
US LLP, and Vincent E. Lazar, Esq., at Jenner & Block LLP,
represent the Chapter 11 Trustee.

The Court confirmed the Fourth Amended Chapter 11 Plan of
Liquidation for Sentinel on Dec. 15, 2008, which created a
Liquidation Trust.  The Plan became effective Dec. 17, 2008, and
Mr. Grede was appointed Liquidation Trustee.


SOURCE HOME: Gets Approval of $675,000 Warn Act Settlement
----------------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that U.S. Bankruptcy Judge Kevin Gross in Delaware
has approved a settlement of a class action brought on behalf of
Source Home Entertainment LLC workers who were fired without the 60
days' notice required by the so-called Warn Acts under federal and
California law.

According to the report, the settlement calls for a payment of
$675,000, one-third of which will go to the workers' lawyers.  The
settlement won't take effect until a Chapter 11 plan of liquidation
is confirmed and implemented by the company, the report related.

                About Source Home Entertainment
                       and Source Interlink

Headquartered in Bonita Springs, Florida, Source Home
Entertainment, LLC, manufactures front-end retail checkout
displays and is a leading distributor of books, periodicals, and
other printed material.  Its distribution network spans over
32,500 retail locations in the U.S. and abroad.

In the twelve months ended April 30, 2014, Source Home generated
revenues totaling approximately $600 million on a consolidated
basis.  As of March 31, 2014, Source Home had assets (not
including goodwill or intangibles) of $205 million and liabilities
of approximately $290 million.  Source Interlink Distribution, LLC
disclosed $82,729,238 in assets and $104,521,951 in liabilities.

Source Home, Source Interlink Manufacturing, LLC, and other
affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case
No. 14-11553) on June 23, 2014, to sell their front-end retail
display fixtures business to lenders, absent higher and better
offers.  The Debtors are winding down their books distribution
business.

The Debtors have tapped Kirkland & Ellis LLP as general bankruptcy
and corporate counsel; Young Conaway Stargatt & Taylor, LLP, as
co-counsel, FTI Consulting, Inc., as crisis and turnaround
advisor; and Kurtzman Carson Consultants, LLC, as claims agent.
Stephen Dube has been designated by the Debtors to act as chief
restructuring officer and Joshua Korsower to act as chief
financial officer.

The United States Trustee for Region 3 appointed seven creditors
to serve on the Official Committee of Unsecured Creditors.  The
Committee is represented by Lowenstein Sandler LLP, and Duane
Morris LLP.  The Committee tapped PricewaterhouseCoopers LLP as
its financial advisor.


SOUTH EDGE: C&S Can't Recover From Estate, 9th Circuit Says
-----------------------------------------------------------
A three-judge panel of the U.S. Court of Appeals for the Ninth
Circuit upheld a district court order affirming the bankruptcy
court's decision allowing C&S Company's claim to proceed as
nonrecourse, but barring recovery from South Edge LLC's bankruptcy
estate.

C&S argues that the bankruptcy court made an error of law, and
therefore abused its discretion, when it determined that the
Stipulation Regarding Relief from the Automatic Stay unambiguously
prevented C&S from recovering against South Edge's bankruptcy
estate.

The Ninth Circuit, however, held that the bankruptcy court did not
abuse its discretion in sustaining the Estate's objection to C&S's
proof of claim.  Contrary to C&S's assertion, the bankruptcy court
did not find that the Stipulation was subject to more than one
reasonable interpretation. Instead, the bankruptcy court repeatedly
stated that the Stipulation's terms were "clear."

In the Stipulation, C&S promised that it would not "exercise any
right, remedy or claim" against South Edge or South Edge's
bankruptcy estate. "Any claim" unambiguously includes a claim made
within bankruptcy proceedings. A contract is not ambiguous "simply
because the parties disagree on how to interpret their contract,"
the Ninth Circuit said, citing Galardi v. Naples Polaris, LLC, 301
P.3d 364, 366 (Nev. 2013).

Because the terms of the Stipulation are unambiguous, any extrinsic
evidence of the parties' intentions with respect to those terms is
irrelevant, the Ninth Circuit said, citing Kaldi v. Farmers Ins.
Exch., 21 P.3d 16, 21 (Nev. 2001).

The appellate case is, C&S COMPANY, INC., Plaintiff-Appellant, v.
CYNTHIA NELSON, Chapter 11 Trustee of the Estate of South Edge,
LLC; et al., Defendants-Appellees, NO. 12-17255 (9th Cir.).  A copy
of the Ninth Circuit's Jan. 2 Memorandum is available at
http://is.gd/7Nx8Kwfrom Leagle.com.

                         About South Edge

Las Vegas, Nevada-based South Edge LLC owns the Inspirada project,
an uncompleted 2,000-acre residential development in Henderson,
Nevada, about 16 miles (26 kilometers) southeast of Las Vegas.
The eight owners of the project include an affiliate of KB Home, a
49% owner.  Other owners are Coleman Toll LP with 10.5%, Pardee
Homes Nevada Inc. with 4.9%, Meritage Homes with 3.5%, and Beazer
Homes USA Inc. with 2.6%.

JPMorgan Chase Bank, N.A., Credit Agricole Corporate and
Investment Bank, and Wells Fargo Bank, N.A., filed an involuntary
chapter 11 bankruptcy petition (Bankr. D. Nev. Case No. 10-32968)
on Dec. 9, 2010, against South Edge, LLC.  The petitioning
creditors are part of a lender group that provided a $595 million
credit.  New York-based JPMorgan serves as lender and agent for
the group.  South Edge filed motions to dismiss the involuntary
petition.

The Court conducted a contested trial on Jan. 24 and 25, 2011, and
Feb. 2 and 3, 2011.  On Feb. 3, 2011, the Court entered an order
for relief under Chapter 11 of the Bankruptcy Code against the
Debtor and issued an order directing the appointment of a chapter
11 trustee.  The United States Trustee appointed Cynthia Nelson to
serve as Chapter 11 trustee on Feb. 20, 2011.  The Court approved
the appointment three days later.

South Edge is represented by lawyers at Klee, Tuchin, Bogdanoff
and Stern LLP, and The Schwartz Law Firm, Inc., as legal counsel.
The Chapter 11 trustee also tapped Schwartzer & McPherson Law Firm
as local counsel.

Petitioning creditors JPMorgan Chase Bank, N.A., and Wells Fargo
Bank, N.A., are represented by lawyers at Morrison and Foerster
LLP; and Lewis and Roca LLP.  Credit Agricole is represented by
lawyers at Haynes and Boone LLP, and Jolley Urga Wirth Woodbury &
Standish.

On Oct. 27, 2011, the Bankruptcy entered an order confirming a
joint plan of reorganization that will implement a settlement
negotiated in May by the secured lenders with the Chapter 11
trustee and the homebuilders that represented 92% of the ownership
interests in the project.  The plan was proposed by JPMorgan Chase
Bank, N.A., as administrative agent under the Prepetition Credit
Agreement, and the settling homebuilders.  The plan calls for the
settling homebuilders to pay the lenders $335 million to settle
their claims.

Meritage filed the sole objection to the plan and was not part of
the settling group.  Meritage has taken an appeal from the
confirmation order.

A copy of the Joint Plan of Reorganization proposed by JPMorgan
Chase Bank, N.A., as administrative agent under the prepetition
credit agreement, and the Settling Builders (amended as of
Oct. 21, 2011) is available for free at:

          http://bankrupt.com/misc/southedge.dkt1309.pdf

A copy of the order confirming the Plan is available at:

          http://bankrupt.com/misc/southedge.dkt1335.pdf


SOVEREIGN ASSETS: Liquidators Win U.S. Court Protection
-------------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that a bankruptcy judge in Manhattan has concluded
that Israel is home to the "foreign main proceeding" of Sovereign
Assets Ltd., allowing the company to seek protection under Chapter
15 of the U.S. Bankruptcy Code.

According to the report, the liquidators said in court papers that
former Chief Executive Officer Abraham Poznanski may have
transferred U.S. assets without authorization to companies in which
he has an interest.  They said they wanted to use the U.S. court to
help investigate transactions involving Poznanski and the U.S.
assets, the report related.

                     About Sovereign Assets

Adv. Guy Gissin and Adv. Rami Kogan, solely in their capacity as
Special Administrators, filed a petition for protection under
Chapter 15 of the U.S. Bankruptcy Code for Sovereign Assets Ltd.
(Bankr. S.D.N.Y. Case No. 14-13009) on Oct. 31, 2014.  The Chapter
15 Petitioners are represented by Michael S. Devorkin, Esq., and
Marc D. Rosenberg, Esq., at Golenbock, Eiseman, Assor Bell & Peskoe
LLP.


T-L BRYWOOD: Has Access to RCG-KC's Cash Collateral Until Jan. 31
-----------------------------------------------------------------
U.S. Bankruptcy Judge J. Philip Klingeberger signed off on an
interim order that authorizes T-L Brywood LLC to use the cash
collateral of RCG-KC Brywood LLC until Jan. 31, 2015.

In return for T-L Brywood's continued interim use of the cash
collateral, RCG-KC is granted security interests in its assets.  

T-L Brywood is also required to pay premiums for insurance to cover
its assets from damage and to reserve funds to pay taxes on a real
property known as Brywood Centre.

A telephonic hearing on the continued use of cash collateral is
scheduled for Jan. 18.

                        About T-L Brywood

T-L Brywood LLC filed for Chapter 11 bankruptcy (Bankr. N.D. Ill.
Case No. 12-09582) on March 12, 2012.  The case was transferred to
the U.S. Bankruptcy Court for the Northern District of Indiana
(Case. 13-21804) on May 14, 2013.

T-L Brywood owns and operates a commercial shopping center known as
the "Brywood Centre" -- http://www.brywoodcentre.com/-- in Kansas
City, Missouri.  The Property encompasses roughly 25.6 acres and
comprises 183,159 square feet of retail space that is occupied by
12 operating tenants.  The occupancy rate for the Property is
approximately 80%.

The Debtor and lender The PrivateBank and Trust Company reached an
impasse over the terms and conditions of another extension of a
mortgage loan on the Property.  As a result, the Debtor filed the
Chapter 11 case to protect the Property from foreclosure while the
Debtor formulates an exit strategy from the reorganization case.
As of the Petition Date, no foreclosure relating to the Property
had been filed by the Lender.

Judge Donald R. Cassling oversees the case.  The Debtor is
represented by David K. Welch, Esq., Arthur G. Simon, Esq., and
Jeffrey C. Dan. Esq., at Crane, Heyman, Simon, Welch & Clar, in
Chicago.

The Debtor disclosed total assets of $16.7 million and total
liabilities of $14.0 million in its schedules.  The petition was
signed by Richard Dube, president of Tri-Land Properties, Inc.,
manager.

PrivateBank is represented by William J. Connelly, Esq., at Hinshaw
& Culbertson LLP.

No committee of creditors was appointed by the U.S. Trustee.



TAMRAC INC: Former Bag Maker Confirms Ch. 11 Plan of Liquidation
----------------------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that Tamrac Inc. received court approval on Dec. 15
for a liquidating Chapter 11 plan with full payment to holders of
unsecured claims who aren't subordinated.  According to the report,
there was no opposition to confirmation of the plan or final
approval of explanatory disclosure materials.

The Troubled Company Reporter, on Sept. 16, 2014, reported that
Tamrac has sold its business to Gura Gear LLC for $5.6 million,
which sale allows full payment to unsecured creditors.  The sale
allowed payment of most of the principal balance owing to secured
lender U.S. Bank NA, the report related.

Tamrac Inc., a maker of bags for high-end photographic equipment,
filed for Chapter 11 bankruptcy (Bankr. C.D. Cal. Case No.
14-bk-10076) in Woodland Hills, California, on Jan. 6, 2014.  Judge
Maureen Tighe presides over the case.  The Debtor's counsel is
Michael I. Gottfried, Esq., and Roye Zur, Esq., at Landau Gottfried
& Berger LLP, in Los Angeles, California.  The Debtor said it had
$1 million to
$10 million in assets and around the same amount of liabilities.
The petition was signed by Jesselyn T. Cyr, president.


THQ INC: Estate Launches Avoidance Suits to Claw Back $9M
---------------------------------------------------------
Law360 reported that the estate for defunct video game developer
THQ Inc. launched dozens of so-called avoidance actions in Delaware
bankruptcy court, looking to claw back more than $9 million in
payments the company made shortly before it filed for Chapter 11
protection.  According to the report, roughly 70 lawsuits flooded
the docket, each of which sought to recover alleged preference
payments THQ said it made during the 90-day period before entering
court protection two years ago.

                         About THQ Inc.

THQ Inc. (NASDAQ: THQI) -- http://www.thq.com/-- was a worldwide  
developer and publisher of interactive entertainment software.
The Company developed its products for all popular game systems,
personal computers, wireless devices and the Internet.
Headquartered in Los Angeles, California, THQ sold product through
its network of offices located throughout North America and
Europe.

THQ Inc. and its affiliates sought Chapter 11 protection (Bankr.
D. Del. Lead Case No. 12-13398) on Dec. 19, 2012.  Michael R.
Nestor, M. Blake Cleary and Jaime Luton Chapman at Young Conaway
Stargatt & Taylor, LLP; and Oscar Garza at Gibson, Dunn & Crutcher
LLP represent the Debtors.  FTI Consulting and Centerview Partners
LLC are the financial advisors.  Kurtzman Carson Consultants is
the claims and notice agent.

Before the bankruptcy, Clearlake signed a contract to buy Agoura
THQ for a price said to be worth $60 million.  After a 22-hour
auction with 10 bidders, the top offers brought a combined $72
million from several buyers who will split up the company. Judge
Walrath approved the sales in January.  Some of the assets didn't
sell, including properties the company said could be worth about
$29 million.

Roberta A. DeAngelis, U.S. Trustee for Region 3, appointed five
persons to serve in the Official Committee of Unsecured Creditors.
The Committee tapped Houlihan Lokey Capital as its financial
advisor and investment banker, Landis Rath & Cobb as co-counsel
and Andrews Kurth as counsel.

THQ Inc. and its debtor affiliates notified the U.S. Bankruptcy
Court for the District of Delaware that on Aug. 2, 2013, their
Second Amended Chapter 11 Plan of Liquidation became effective.


TLO LLC: Shareholders to Recover More Than $43 Million
------------------------------------------------------
Bill Rochelle and Sherri Toub, bankruptcy columnists for Bloomberg
News, reported that holders of equity interests in TLO LLC, a
provider of risk-mitigation services before its business was sold,
will receive more than $43 million, over twice the minimum recovery
predicted when the Chapter 11 plan was approved in May.

According to the report, the company said the latest distribution
to shareholders will move it "substantially closer" to closing the
Chapter 11 case, while leaving sufficient reserves for
administration and all disputed claims and equity interests still
pending.

                   About TLO LLC nka TLFO LLC

TLO LLC, a provider of risk-mitigation services, filed a petition
for Chapter 11 reorganization (Bankr. S.D. Fla. Case No. 13-20853)
on May 9, 2013, in West Palm Beach, Florida, near the company's
headquarters in Boca Raton.  The petition was signed by E. Desiree
Asher as CEO.

Judge Paul G. Hyman, Jr., presides over the case.  Robert C. Furr,
Esq., and Alvin S. Goldstein, Esq., at Furr & Cohen, serve as the
Debtor's counsel.  Bayshore Partners, LLC is the Debtor's
investment banker.  Thomas Santoro and GlassRatner Advisory &
Capital Group, LLC are the Debtor's financial advisors.

Paul J. Battista, Esq., and Mariaelena Gayo-Guitian, Esq., at
Genovese, Joblove & Battista, P.A., represent the Official
Committee of Unsecured Creditors as counsel.

The Debtor disclosed assets of $46.6 million and liabilities of
$109.9 million, including $93.4 million in secured claims.  The
principal lender is Technology Investors Inc., owed $89 million.
TII is owned by the estate of Hank Asher, the company's primary
owner who died this year.  There is $4.6 million secured by
computer equipment.


TROPICANA ENTERTAINMENT: Judge Resolves Fee Allocation Dispute
--------------------------------------------------------------
The Liquidating LandCo Debtors and Tropicana Las Vegas, Inc. --
collectively, the "LandCo Debtors" -- and the Steering Committee of
Lenders to the OpCo Debtors filed objections to the final fee
applications filed by professional firms employed by the Debtors
and the Official Committee of Unsecured Creditors.  The issue to be
determined by the Court is how to allocate the fees and expenses
incurred by the Professionals through June 30, 2009 between the
Reorganized OpCo Debtors and the Liquidating LandCo Debtors.

The Steering Committee seeks a 50/50 allocation between the
Reorganized OpCo Debtors and the Liquidating LandCo Debtors of the
amounts ultimately allowed pursuant to the Fee Applications through
the July 1, 2009 LandCo Plan Effective Date.

The LandCo Debtors ask the Court to allocate to the LandCo Debtors
only the fees attributable specifically to the LandCo Debtors
through the July 1, 2009 Effective Date of the LandCo Plan for each
Professional (based on an analysis of individual time entries set
forth in the Fee Applications), plus a percentage of the fees for
services its counsel has identified as unallocable equal to the
ratio of identifiable LandCo and OpCo services for that
Professional, with final allocations ranging from 1% to 15%.

"Taking into account the totality of the record in this case and my
own experience with these matters, often complex and contentious, I
conclude that neither the Steering Committee's nor the LandCo
Debtor's proposed allocation amounts are appropriate," Delaware
Bankruptcy Judge Kevin J. Carey said in his Dec. 30 Memorandum
available at http://is.gd/yri36Sfrom Leagle.com.

Judge Carey said:

     -- the Steering Committee's proposed 50/50 allocation fails to
account for the large disparity in the size of the operations or
amount of debt held by the two groups of Debtors. The benefit that
the LandCo Debtors supposedly received from litigation that was
specific to particular OpCo Debtors is too tenuous to support a
one-half allocation.

     -- the LandCo Debtor's proposed 90/10 allocation fails to
consider that the Debtors, part of an extensive and intertwined
corporate family, were managed and operated as a single enterprise
for a large part of the bankruptcy case. Chapter 11 debtors and
their professionals must undertake many time-consuming and
expensive tasks, regardless of the size of the estate or the number
of creditors. An allocation based solely on the amount of debt or
number of casino properties would be inequitable.
"[R]ecognizing that many services benefitted both Debtor groups, I
conclude that the Professional Fees should be allocated 75% to the
OpCo Debtors and 25% to the LandCo Debtors," Judge Carey said.

The Steering Committee and the LandCo Debtors are directed to meet
and confer to determine which fee objection issues are yet to be
resolved and should file a joint statement with the Court
reflecting the remaining issues, if any.

The "Reorganized OpCo Debtors" are: Adamar Garage Corporation;;
Argosy of Louisiana, Inc.; Atlantic-Deauville, Inc.; Aztar
Corporation; Aztar Development Corporation; Aztar Indiana Gaming
Company, LLC; Aztar Indiana Gaming Corporation; Aztar Missouri
Gaming Corporation; Aztar Riverboat Holding Company, LLC; Catfish
Queen Partnership in Commendam; Centroplex Centre Convention Hotel,
L.L.C.; Columbia Properties Laughlin, LLC; Columbia Properties
Tahoe, LLC; Columbia Properties Vicksburg, LLC; CP Baton Rouge
Casino, LLC; CP Laughlin Realty, LLC; Hotel Ramada of Nevada
Corporation; Jazz Enterprises, Inc.; JMBS Casino LLC; Ramada New
Jersey Holdings Corporation; Ramada New Jersey, Inc.; St. Louis
Riverboat Entertainment, Inc.; Tahoe Horizon, LLC; Tropicana
Entertainment Holdings, LLC; Tropicana Entertainment Intermediate
Holdings, LLC; Tropicana Entertainment, LLC; Tropicana Express,
Inc.; and Tropicana Finance Corp.

The professional firms employed by the Debtors are Kirkland &
Ellis, LLP; AlixPartners, LLP; Ernst & Young, LLP; KPMG LLP; Lazard
Freres & Co., LLC; Paul, Hastings, Janofsky & Walker LLP: and
Richards, Layton & Finger, P.A.

The professional firms employed by the Creditors Committee are
Capstone Advisory Group, LLC; Lionel, Sawyer & Collins; Stroock &
Stroock & Lavan LLP; and Morris, Nichols, Arsht & Tunnell, LLP.

The objections included the final fee application of Warren H.
Smith & Associates, P.C., which served as Fee Auditor.

On May 5, 2009, the Delaware Bankruptcy Court entered Findings of
Facts, Conclusions of Law, and Order Confirming First Amended Joint
Plan of Reorganization of Tropicana Entertainment, LLC and Certain
of its Debtor Affiliates Under Chapter 11 of the Bankruptcy Code --
OpCo Confirmation Order -- thereby confirming the First Amended
Joint Plan of Reorganization of Tropicana Entertainment, LLC and
Certain of its Debtor Affiliates Under Chapter 11 of the Bankruptcy
Code.

On the same day, the Court entered Findings of Facts, Conclusions
of Law, and Order Confirming First Amended Joint Plan of
Reorganization of Tropicana Las Vegas Holdings, LLC and Certain of
its Debtor Affiliates Under Chapter 11 of the Bankruptcy Code --
LandCo Confirmation Order -- thereby confirming the First Amended
Joint Plan of Reorganization of Tropicana Las Vegas Holdings, LLC
and Certain of its Debtor Affiliates Under Chapter 11 of the
Bankruptcy Code.


                  About Tropicana Entertainment

Tropicana Entertainment Inc. owned and operated nine casinos and
resorts in Indiana, Louisiana, Mississippi, Nevada and New Jersey.
The Company owns approximately 6,000 rooms, 9,000 slot positions
and 250 table games.  In addition, the Company owns a development
property in Aruba.  The company is based in Las Vegas, Nevada.

Tropicana Entertainment LLC and certain affiliates filed for
Chapter 11 protection (Bankr. D. Del. Case No. 08-10856) on May 5,
2008.  Kirkland & Ellis LLP and Mark D. Collins, Esq., at Richards
Layton & Finger, represent the Debtors in their restructuring
efforts.  Their financial advisor is Lazard Ltd.  Their notice,
claims, and balloting agent is Kurtzman Carson Consultants LLC.
Epiq Bankruptcy Solutions LLC is the Debtors' Web site
administration agent.  AlixPartners LLP is the Debtors'
restructuring advisor.  Stroock & Stroock & Lavan LLP and Morris
Nichols Arsht & Tunnell LLP represent the Official Committee of
Unsecured Creditors in this case.  Capstone Advisory Group LLC is
financial advisor to the Creditors' Committee.

The OpCo Debtors, a group of Tropicana entities owning casinos and
resorts in Atlantic City, New Jersey and Evansville, Indiana
obtained confirmation from the Bankruptcy Court of a
reorganization plan.  On April 29, 2009, non-debtor units of the
OpCo Debtors, designated as the New Jersey Debtors -- Adamar of
New Jersey, Inc., and its affiliate, Manchester Mall, Inc. --
filed for Chapter 11 (Bankr. D.N.J. Lead Case No. 09- 20711) to
effectuate a sale of the Atlantic City Resort and Casino to a
group of Investors-led by Carl Icahn.   Judge Judith H. Wizmur
presides over the cases.  Manchester Mall is a wholly owned
subsidiary of Adamar that owns and operates certain real property
utilized in the New Jersey Debtors' business operations.
Effective March 2010, Tropicana Entertainment successfully emerged
from the Chapter 11 reorganization process as an Carl Icahn-owned
entity.

A group of Tropicana entities, known as the LandCo Debtors, which
own Tropicana casino property in Las Vegas, have obtained approval
of a separate Chapter 11 plan.

Ilana Volkov, Esq., and Michael D. Sirota, Esq., at Cole, Schotz,
Meisel, Forman & Leonard, in Hackensack, New Jersey, represented
the New Jersey Debtors.  Kurtzman Carson Consultants LLC acts as
their claims and notice agent.  Adamar disclosed $500 million to
$1 billion both in total assets and debts in its petition.
Manchester Mall disclosed $1 million to $10 million in total
assets, and less than $50,000 in total debts in its petition.

Debtors Adamar of New Jersey Inc. and Manchester Mall Inc. have
merged into Adamar of NJ In Liquidation, LLC.  The merger and name
change is in accordance with an Amended and Restated Purchase
Agreement, which governs the sale and transfer of the operations
of the Tropicana Casino and Resort - Atlantic City, including
substantially all of the New Jersey Debtors' assets, to Tropicana
Entertainment Inc., Tropicana Atlantic City Corp., and Tropicana
AC Sub Corp., free and clear of any and all liens, claims and
encumbrances.


TRUMP ENTERTAINMENT: Has Until April 7 to Remove Actions
--------------------------------------------------------
The U.S. Bankruptcy court extended until April 7, 2015, Trump
Entertainment Resorts, Inc., et al.'s time to file notices of
removal of actions pursuant to 28 U.S.C. Sec. 1452.

                     About Trump Entertainment

Trump Entertainment Resorts Inc., owner of the Atlantic City
Boardwalk casinos that bear the name of Donald Trump, returned to
Chapter 11 bankruptcy (Bankr. D. Del. Case No. 14-12103) on
Sept. 9, 2014, with plans to shutter its casinos.

TER and its affiliated debtors own and operate two casino hotels
located in Atlantic City, New Jersey.  TER said it will close the
Trump Taj Mahal Casino Resort by Sept. 16, 2014, and, absent union
concessions, the Trump Plaza Hotel and Casino by Nov. 13, 2104.

The Debtors have sought an order authorizing the joint
administration of their Chapter 11 cases and the consolidation
thereof for procedural purposes only.  Judge Kevin Gross presides
over the Chapter 11 cases.

The Debtors have tapped Young, Conaway, Stargatt & Taylor, LLP, as
counsel; Stroock & Stroock & Lavan LLP, as co-counsel; Houlihan
Lokey Capital, Inc., as financial advisor; and Prime Clerk LLC, as
noticing and claims agent.

TER estimated $100 million to $500 million in assets as of the
bankruptcy filing.

The Debtors as of Sept. 9, 2014, owe $285.6 million in principal
plus accrued but unpaid interest of $6.6 million under a first
lien debt issued under their 2010 bankruptcy-exit plan.  The
Debtors also have trade debt in the amount of $13.5 million.

The official committee of unsecured creditors tapped Gibbons P.C.
as its co-counsel, the Law Office of Nathan A. Schultz, P.C., as
co-counsel, and PricewaterhouseCoopers LLP as its financial
advisor.


ULTIMATE NUTRITION: U.S. Trustee Appoints Creditors' Committee
--------------------------------------------------------------
The U.S. Trustee for Region 2 appointed three creditors of Ultimate
Nutrition Inc. and Prostar Inc. to serve on the official committee
of unsecured creditors:

     (1) Fonterra USA Inc.
         c/o Mark Piper, Regional Director
         9525 W. Bryn Mawr, Suite 700
         Rosemont, IL 60018
         Telephone: (847) 928-1600
         Email: mark.piper@fonterra.com

     (2) Bactolac Pharmaceutical Inc.
         c/o Renee Reynolds, Chief Financial Officer
         7 Oser Avenue
         Hauppauge, NY 11788
         Telephone: (631) 951-4908
         Email: rreynolds@bactolac.com

     (3) The Hershey Company
         c/o Emily Moyer, Senior Credit Analyst
         P.O. Box 819
         Hershey, PA 17033-0819
         Telephone: (717) 534-4566
         Email: emoyer@hersheys.com

Official creditors' committees have the right to employ legal and
accounting professionals and financial advisors, at a debtor's
expense.  They may investigate the debtor's business and financial
affairs.  Importantly, official committees serve as fiduciaries to
the general population of creditors they represent.

                     About Ultimate Nutrition

Ultimate Nutrition, Inc., develops and distributes nutritional
supplements for body building, enhanced athletic performance and
fitness.  The products are sold worldwide in over 100 countries.
The business was founded in 1979 by the late Victor H. Rubino, one
of the top amateur power lifters in the United States at that time.
The company has two facilities located in Farmington,
Connecticut, one product distribution center in New Britain,
Connecticut and a research and development center in West Palm
Beach, Florida.

Ultimate Nutrition and affiliate Prostar, Inc., sought Chapter 11
bankruptcy protection (Bankr. D. Conn. Case Nos. 14-22402 and
14-22403) on Dec. 17, 2014.

The Debtors have tapped Pullman & Comley, in Bridgeport,
Connecticut, as counsel; LaQuerre Michaud & Company, LLC, as
accountant; and Marcum LLP, as financial advisor.

Ultimate Nutrition estimated $10 million to $50 million in assets
and debt.  The schedules of assets and liabilities and statement of
financial affairs are due Dec. 31, 2014.

The 11 U.S.C. Sec. 341(a) meeting of creditors is slated for Jan.
14, 2015.  The deadline to file claims is April 14, 2015.



VALLEY VILLAGE: Case Summary & 7 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Valley Village Heights, LLC
        5222 5224 Vantage Avenue
        Valley Village, CA 91607

Case No.: 15-10028

Chapter 11 Petition Date: January 5, 2015

Court: United States Bankruptcy Court
       Central District of California (San Fernando Valley)

Judge: Hon. Victoria S. Kaufman

Debtor's Counsel: M Jonathan Hayes, Esq.
                  Matthew D. Resnik, Esq.
                  SIMON RESNIK HAYES LLP
                  15233 Ventura Blvd., Suite 250
                  Sherman Oaks, CA 91403
                  Tel: (818) 783-6251
                  Fax: (818) 827-4919
                  Email: jhayes@srhlawfirm.com
                         matt@srhlawfirm.com

Estimated Assets: $500,000 to $1 million

Estimated Liabilities: $1 million to $10 million

The petition was signed by Oren Yaccobe, managing member.

A list of the Debtor's seven largest unsecured creditors is
available for free at http://bankrupt.com/misc/cacb15-10028.pdf


VARIANT HOLDING: Stipulation Reached on The Oaks' Properties
------------------------------------------------------------
The Bankruptcy Court approved a stipulation between debtor Variant
Holding Company, LLC, and lender Arbor Realty SR, Inc.

Prior to the Petition Date, Arbor Realty ("Lender") made a secured
loan in the original principal amount of $5 million to The Oaks at
Stonecrest Apartments, LLC, pursuant to that certain Loan
Agreement, dated as of May 17, 2013.  The Loan is outstanding and
unpaid.  The borrower, The Oaks, is a wholly-owned property-owning
subsidiary of the Debtor.

On motion of the Debtor, on Nov. 3, 2014, the Court entered an
order approving a settlement agreement with the Beach Point Funds.
The settlement agreement provides, among other things, that the
Beach Point Funds will provide a DIP Loan to the Debtor.  The
Settlement further provides for a sale process with respect to
certain "properties".  The Oaks' assets, which are included within
the definition of properties, serve as the collateral for the
Loan.

Absent payment in full of all amounts due and owing under the Loan,
the Collateral may not be sold or otherwise transferred without the
Lender's consent.

In an effort to address the Lender's consent with the Settlement
Agreement, The Oaks and the Lender have entered into a stipulation.
Under the stipulation, the Debtor will agree:

    -- that the The Oaks will not guarantee, or otherwise be an
obligor, under the DIP Loan, nor will any of the Collateral or any
part of the Debtor's ownership interest in The Oaks be used to
secure the DIP Loan;

    -- that absent payment in full of all amounts due and owing
with respect to the Loan, neither the Collateral nor all or any
part of the Debtor's ownership in The Oaks may be sold or otherwise
transferred without the Lender's prior written consent; and

   -- to give the Lender prior written notice of any proposed sale
or any other transfer of the Collateral or any part of the Debtor's
ownership interest in the Borrower.

A copy of the terms of Motion is available for free at:

     http://bankrupt.com/misc/VariantHolding_Stipulation.pdf

                      About Variant Holding

Variant Holding Company, LLC, and its affiliates are a commercial
real estate company with indirect ownership in 27 apartment
complexes and other real property interests in Arizona, Georgia,
Maryland, Nevada, South Carolina, Texas and Virginia.

Variant Holding commenced bankruptcy proceedings under Chapter 11
of the U.S. Bankruptcy Code in Delaware (Case No. 14-12021) on Aug.
28, 2014.

Tucson, Arizona-based Variant Holding estimated $100 million to
$500 million in assets and less than $100 million in debt.

The Debtor has tapped Peter J. Keane, Esq., at Pachulski Stang
Ziehl & Jones LLP, as counsel.



VISUALANT INC: Extends CEO Notes Due Date to March 2015
-------------------------------------------------------
Visualant, Inc., entered into an Amendment to Demand Promissory
Note for $300,000 with Ronald Erickson, the Company's chief
executive officer or entities in which Mr. Erickson has a
beneficial interest.  The December 31, 2014 Amendment to Demand
Promissory Note for $300,000 provides for interest of 3% per annum
and is due March 31, 2015.  The Note Amendment to Demand Promissory
Note provides for a second lien on company assets if not repaid by
March 31, 2015, or converted into convertible debentures or equity
on terms acceptable to the Holder.

On Dec. 31, 2014, the Company entered into an Amendment 2 to Demand
Promissory Note dated March 31, 2014 and as Amended on July 17,
2014, with Mr. Erickson or entities in which Mr. Erickson has a
beneficial interest.  The Amendment 2 to Demand Promissory Note for
$300,000 extended the due date of this from Sept. 30, 2014, to
March 31, 2015.  The Note provides for interest of 3% per annum and
provides for a second lien on company assets if not repaid by March
31, 2015, or converted into convertible debentures or equity on
terms acceptable to the Holder.

On Dec. 31, 2014, the Company entered into an Amendment 3 to the
Demand Promissory Note dated Jan. 10, 2014, and as Amended on March
31, 2014 and July 17, 2014 with Mr. Erickson or entities in which
Mr. Erickson has a beneficial interest.  The Amendment 3 to the
Demand Promissory Note for $200,000 extended the due date from
Sept. 30, 2014, to March 31, 2015.  The Note provides for interest
of 3% per annum and provides for a second lien on company assets if
not repaid by March 31, 2015, or converted into convertible
debentures or equity on terms acceptable to the Holder.

On Dec. 19, 2013, the Company entered into a $200,000 Note Payable
with Umpqua Bank.  The Note Payable has a maturity date of
Dec. 31, 2014, and provided for interest of 2.79%, subject to
adjustment annually.  This Note Payable maturity date was extended
to Dec. 31, 2015, and provides for interest at 3.25%.

                       About Visualant Inc.

Seattle, Wash.-based Visualant, Inc., was incorporated under the
laws of the State of Nevada on Oct. 8, 1998.  The Company
develops low-cost, high speed, light-based security and quality
control solutions for use in homeland security, anti-
counterfeiting, forgery/fraud prevention, brand protection and
process control applications.

Visualant incurred a net loss of $6.60 million for the year ended
Sept. 30, 2013, as compared with a net loss of $2.72 million for
the year ended Sept. 30, 2012.

As of June 30, 2014, the Company had $3.46 million in total
assets, $7.09 million in total liabilities, all current, $72,713
in non-controlling interest, and a $3.70 million total
stockholders' deficit.

PMB Helin Donovan, LLP, in Seattle, Washington, issued a "going
concern" qualification on the consolidated financial statements
for the year ended Sept. 30, 2013.  The independent auditors noted
that the Company has sustained a net loss from operations and has
an accumulated deficit since inception.  These factors raise
substantial doubt about the Company's ability to continue as a
going concern.


[*] BofA Sued by Credit Union Regulator for MBS Oversight
---------------------------------------------------------
Patricia Hurtado and David Voreacos, writing for Bloomberg News,
reported that Bank of America Corp. and US Bancorp were sued by the
National Credit Union Administration Board, the agency that
oversees federal credit unions, which claimed the banks failed as
trustees over securities backed by home mortgages that defaulted
after the 2008 credit crisis.

According to the report, the lawsuit, filed in Manhattan federal
court, claims that Bank of America and US Bancorp served as
trustees for residential mortgage-backed securities in 99 trusts
with an original face value of $5.8 billion.  The agency alleged
that the banks failed to review mortgage loan files for
irregularities, missing "numerous problems," including that the
trusts "suffered enormous losses due to the high number of mortgage
defaults, delinquencies, and foreclosures caused by defective loan
origination and underwriting," the report related.

The case is National Credit Union Administration Board v. U.S. Bank
National Association, 14-cv-9928, U.S. District Court, Southern
District of New York (Manhattan.)


[*] Ocwen Financial Pact Compliance under Fire
----------------------------------------------
Alan Zibel, writing for The Wall Street Journal, reported that an
independent monitor said mortgage servicer Ocwen Financial Corp.
failed to ensure that its efforts to comply with a 2012 mortgage-
abuse settlement were sufficiently independent from the company's
managers.

According to the report, Joseph A. Smith Jr., a watchdog charged
with measuring mortgage firms' performance under the 2012
settlement, said in an interview he has directed accounting firm
McGladrey LLP to examine Ocwen's work after an Ocwen employee
alleged the company's internal review of mortgage-servicing
practices wasn't truly independent.  After the 2012 settlement,
firms were required to form review committees to oversee their
adherence to the pact, the Journal said.


[*] U.S. Agency Probes Currency Exchange Site That Vanished w/ Cash
-------------------------------------------------------------------
David Evans and Willem Marx, writing for Bloomberg News, reported
that the U.S. Department of Justice has begun a criminal
investigation into the foreign exchange trading website
Secureinvestment.com, which vanished last May 1 with as much as $1
billion from investors around the world.

According to the report, the Financial and Capital Market
Commission in Latvia is also probing the involvement of Latvian
banks used by Secure Investment, says agency spokeswoman Elina
Avotina.


                            *********

Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par.  Prices are
obtained by TCR editors from a variety of outside sources during
the prior week we think are reliable.  Those sources may not,
however, be complete or accurate.  The Monday Bond Pricing table
is compiled on the Friday prior to publication.  Prices reported
are not intended to reflect actual trades.  Prices for actual
trades are probably different.  Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy or
sell any security of any kind.  It is likely that some entity
affiliated with a TCR editor holds some position in the issuers
public debt and equity securities about which we report.

Each Tuesday edition of the TCR contains a list of companies with
insolvent balance sheets whose shares trade higher than $3 per
share in public markets.  At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets.  A company may establish reserves on its balance sheet for
liabilities that may never materialize.  The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.

On Thursdays, the TCR delivers a list of recently filed
Chapter 11 cases involving less than $1,000,000 in assets and
liabilities delivered to nation's bankruptcy courts.  The list
includes links to freely downloadable images of these small-dollar
petitions in Acrobat PDF format.

Each Friday's edition of the TCR includes a review about a book of
interest to troubled company professionals.  All titles are
available at your local bookstore or through Amazon.com.  Go to
http://www.bankrupt.com/books/to order any title today.

Monthly Operating Reports are summarized in every Saturday edition
of the TCR.

The Sunday TCR delivers securitization rating news from the week
then-ending.

                            *********

S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter is a daily newsletter co-published
by Bankruptcy Creditors Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.  
Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine
Tumanda, Valerie Udtuhan, Howard C. Tolentino, Carmel Paderog,
Meriam Fernandez, Joel Anthony G. Lopez, Cecil R. Villacampa,
Sheryl Joy P. Olano, Psyche A. Castillon, Ivy B. Magdadaro, Carlo
Fernandez, Christopher G. Patalinghug, and Peter A. Chapman,
Editors.

Copyright 2015.  All rights reserved.  ISSN: 1520-9474.

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