/raid1/www/Hosts/bankrupt/TCR_Public/191203.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
Tuesday, December 3, 2019, Vol. 23, No. 336
Headlines
2265 ENTERPRISE: Seeks to Hire Coffey Law as Bankruptcy Counsel
A&R COMPLETE: Plan Payments to be Funded by Continued Operations
ANA M GARZA: Seeks to Hire DeMarco-Mitchell as Counsel
ANNA HOLDINGS: Case Summary & 30 Largest Unsecured Creditors
APPROACH RESOURCES: Reports $19.2 Million Third Quarter Net Loss
BELLANO JEWELERS: Seeks to Hire DeMarco-Mitchell as Counsel
BIOHITECH GLOBAL: Incurs $1.3MM Comprehensive Loss for 3rd Quarter
BLUE LINE: Reports $451,000 Net Loss for Quarter Ended Sept. 30
BLUE STAR: Incurs $1.3MM Net Loss for the Quarter Ended Sept. 30
CANBIOLA INC: Posts $941K Comprehensive Loss for Sept. 30 Quarter
CANCER GENETICS: Posts $2.0MM Net Income for Sept. 30 Quarter
CAVITATION TECHNOLOGIES: Posts $38,000 Net Income for 3rd Quarter
CEN BIOTECH: Incurs $1.3MM Net Loss for the Quarter Ended Sept. 30
CENTURY IOWA MOTELS: Case Summary & 8 Unsecured Creditors
CITADEL EXPLORATION: Incurs $1.1MM Net Loss for Sept. 30 Quarter
CORE MOLDING: Needs More Financing to Continue as Going Concern
CTI INDUSTRIES: Reports $1.2MM Net Loss for Quarter Ended Sept. 30
DATA STORAGE: Incurs $133,000 Net Loss for Quarter Ended Sept. 30
DIAMONDHEAD CASINO: Has $111K Net Loss for Quarter Ended Sept. 30
DYNALYST CORPORATION: Case Summary & 20 Top Unsecured Creditors
EAGLE ENTERPRISES: Plan Payments to be Funded by Property Rentals
EP ENERGY: Committee Hires AlixPartners as Financial Advisor
EP ENERGY: Committee Hires Pachulski Stang as Conflicts Counsel
EP ENERGY: Committee Seeks to Hire Polsinelli as Co-Counsel
EP ENERGY: Committee Seeks to Hire Stroock & Stroock as Counsel
EP ENERGY: Committee Taps Jefferies as Investment Banker
ESTEP CONSTRUCTION: Court Conditionally OKs Disclosure Statement
ETHEMA HEALTH: Reports $353,000 Net Loss for Quarter Ended Sept. 30
GB SCIENCES: Incurs $2.9 Million Net Loss in Quarter Ended Sept. 30
GB SCIENCES: Shane Terry Resigns as Director
GENERATION ALPHA: Recurring Losses Raise Going Concern Doubt
GEX MANAGEMENT: Incurs $132K Net Loss for Quarter Ended Sept. 30
GIGGLES N' HUGS: Has $168,000 Net Loss for Quarter Ended Sept. 29
GLOBAL HEALTHCARE: Accumulated Deficit Casts Going Concern Doubt
GROM SOCIAL: Losses since Inception Cast Going Concern Doubt
GROWLERU FRANCO: Seeks to Hire Weinman & Associates as Attorney
HIGH SIERRA THEATRES: Seeks to Hire an Attorney
INPIXON: Iliad Research Swaps $120,000 Note for Equity
INPIXON: Reports $6.6 Million Net Loss in Quarter Ended Sept. 30
IQSTEL INC: Lacks Significant Cash to Continue as Going Concern
JCV GROUP: Seeks to Hire Medina Law as Attorney
KAYA HOLDINGS: Working Capital Deficit Raise Going Concern Doubt
KLINE CONSTRUCTION: Exclusivity Period Extended Until April 10
LONGHORN JUNCTION: Romspen to Get $3.2MM in Quarterly Payments
LONGHORN PAVING: Exclusivity Period Extended Until Feb. 4
MAD DOGG ATHLETICS: Exclusivity Period Extended to Jan. 7
MANHATTAN SCIENTIFICS: Cummulative Losses Raise Going Concern Doubt
MAOZ 8TH AVENUE: Court Confirms Plan of Reorganization
MARKET STREET: Court Confirms Plan of Reorganization
MEDICAL SIMULATION: Seeks to Hire Shapiro Bieging as Legal Counsel
MEDIQUIP INC: Seeks to Hire Prager Metis as Accountant
MICHAEL'S GOURMET: Seeks to Hire Van Horn Law as Attorney
MIRAGE DENTAL: Creditors to Get Paid from Future Income
NANOVIBRONIX INC: Incurs $815,000 Net Loss for Sept. 30 Quarter
NETWORKBUILDER LLC: Seeks to Hire Alice Bower as Counsel
NEW ENGLAND MOTOR: Files Liquidation Plan, Taps Clancy as Trustee
PACIFIC CONSTRUCTION: Seeks More Time to File 2015 Financial Report
PICK-YOUR-OWN INC: Court Denies Exclusivity Extension
PROFESSIONAL DIVERSITY: Has $777K Net Loss for Sept. 30 Quarter
RCG RESOLUTION: Seeks to Hire an Attorney
ROCKY MOUNTAIN: Reports $920K Net Loss for Quarter Ended Sept. 30
RUBY'S FRANCHISE: Disclosure Motion Hearing Continued to Nov. 26
SAVE MONEY: Seeks to Hire Johnson Pope as Special Counsel
SINO-GLOBAL SHIPPING: Reports $1.6MM Net Loss for Third Quarter
SIVYER STEEL: Court to Combine Plan & Disclosure Hearing
SIVYER STEEL: Plan & Disclosure Hearing Set for Jan. 20 Next Year
SIZMEK INC: Seeks to Hire ASK LLP as Special Counsel
SKY PARTNERS: Disclosure Motion Hearing Reset to Jan. 13 Next Year
SOUTHFRESH AQUACULTURE: Plan Outlined OK'd, Dec. 20 Hrg. Set
SPORTS FIELD HOLDINGS: Incurs $797K Net Loss for Sept. 30 Quarter
STORE IT REIT: River Oaks Sale Proceeds Expected to Fund Plan
TADA VENTURES: Plan Payments to be Funded by Estate Sale Proceeds
THERMOGENESIS HOLDINGS: Recurring Losses Cast Going Concern Doubt
THG HOLDINGS: To Resolve U.S. Trustee & Health Care's Objection
TOUCHPOINT GROUP: Historical Net Losses Cast Going Concern Doubt
TWINLAB CONSOLIDATED: Incurs $3.2MM Net Loss for Sept. 30 Quarter
URBAN-GRO INC: Incurs $2.8MM Net Loss for Quarter Ended Sept. 30
VERITY HEALTH: Wants Disclosure Motion Hearing Continued to Nov. 26
WEST COAST VENTURES: Incurs $1.1MM Net Loss for Sept. 30 Quarter
YOUNGEVITY INT'L: Needs More Capital to Remain as Going Concern
*********
2265 ENTERPRISE: Seeks to Hire Coffey Law as Bankruptcy Counsel
---------------------------------------------------------------
2265 Enterprise East LLC seeks authority from the United States
Bankruptcy Court for the Northern District of Ohio (Akron) to hire
Coffey Law LLC as lead bankruptcy counsel.
Services Coffey Law will render include:
a. advising the Debtor of its rights and duties as
Debtor-in-Possession;
b. preparing and filing all necessary and appropriate
petitions, schedules, statements of financial affairs,
applications, motions, pleadings, orders, notices and related
documents;
c. reviewing the nature, extent and validity of liens asserted
against the property of the Debtor, and advising the Debtor with
respect to the enforceability of such liens;
d. advising the Debtor with respect to the contemplated
formation, solicitation of approval, and confirmation of a Chapter
11 plan, and
e. performing other legal services for the Debtor.
Coffey Law will charge an hourly fee of $300 for its services.
Thomas Coffey, Esq., at Coffey Law, disclosed in a court filing
that he and his firm neither hold nor represent any interest
adverse to the Debtors and their estates.
The firm can be reached through:
Thomas W. Coffey, Esq.
Coffey Law LLC
2430 Tremont Avenue Front
Cleveland, OH 44113
Tel: (216) 870-8866
Email: tcoffey@tcoffeylaw.com
About 2265 Enterprise East LLC
2265 Enterprise East LLC classifies its business as Single Asset
Real Estate (as defined in 11 U.S.C. Section 101(51B)). The Company
owns a real estate commonly known as 2265 East Enterprise Pkwy,
Twinsburg, OH 44087.
2265 Enterprise East LLC filed a voluntary petition for relief
under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ohio Case
No. 19-52510) on October 20, 2019. In the petition signed by James
P. Breen, managing member, the Debtor estimated $1,558,834 in total
liabilities.
The case is assigned to Judge Alan M. Koschik.
Thomas W. Coffey, Esq. at Coffee Law LLC represents the Debtor as
counsel.
A&R COMPLETE: Plan Payments to be Funded by Continued Operations
----------------------------------------------------------------
Debtor A&R Complete Service Corp. filed with the U.S. Bankruptcy
Court for the District of Nevada a disclosure statement describing
its plan of reorganization.
The Plan proposes that treatment for Class 4 Claims.
Class 4: General Unsecured Claims. Class 4(a) claims include claims
that resulted from unsecured loans against the Debtor's future
receivables. Class 4(b) includes the Divorce settlement claim to
Heather Snipes. Class (c) includes claims include wholly unsecured
vendor, lender and tax claims. The aggregate amount of general
unsecured claims amount to $1,038,804.
Class 4(a) includes unsecured lender claims on loans made against
future receivables. The creditors in this class include Lendr, MM
Funding, and Kalamata. These claims amount to $306,443 and are
considered general unsecured creditors. These lenders will be paid
over 36 months pursuant to the plan terms with interest to accrue
at the prime rate + 2%, amounting to an aggregate payment of
$10,000 per month to begin at the end of 24 months from the
effective date of the confirmed plan.
Class 4(b) includes the divorce property settlement awarded to
Heather Snipes, ex-spouse of the principal of the company, David
Snipes. Heather Snipes was awarded the amount of $300,000 in the
divorce decree, to be paid in the amount of $2,500 per month from
the future income of the company. Heather Snipes has received some
portion of payments prior to the filing of the petition and has a
current balance owed of approximately $288,000. Pursuant to the
plan, Heather will receive monthly payments on the settlement award
of $3,000 per month for April through September and $1,500 per
month for October through March toward the satisfaction of the
settlement amount.
Class 4(c) includes vendors of the Debtor, the unsecured portion of
the IRS tax claims, the unsecured portion of the Wells Fargo loans,
pre-petition legal fees and other general unsecured claims to be
paid from the company amounting to $444,361.30. The balance of this
class will be paid from the remaining surplus operating funds in an
amount to be determined and distributed quarterly from available
cash flow. Anticipated percentage of payment is 50%.
The Debtors will implement their Plan by serving as a Plan Agent
for payment of Claims pursuant to the Plan. The Plan Agent will
make the plan payments from the revenue that is generated from the
operation of the commercial HVAC warranty business. The revenues
are anticipated to generate approximately $150,000 per month in the
lowest cyclical income.
Debtor's monthly cash flow is seasonal and ranges from $150,000 in
October to April to $350,000 in May to September or each year.
Debtor anticipates paying some creditors a higher amount in the
seasonal high months. The Debtor will reserve net income in the
higher months in order to pay the plan payments throughout the
year.
A full-text copy of the disclosure statement is available at
https://tinyurl.com/tevbeh2 from PacerMonitor.com at no charge.
The Debtor is represented by:
Timothy P. Thomas, Esq.
Nevada Bar No. 5148
Law Office of Timothy P. Thomas, LLC
1771 E. Flamingo Rd., Suite B-212
Las Vegas, NV 89119
(702) 227-0011 Fax (702) 227-0334
tthomas@tthomaslaw.com
About A&R Complete Service
A&R Complete Service, Inc., based in Las Vegas, NV, filed a Chapter
11 petition (Bankr. D. Nev. Case No. 19-10321) on Jan. 21, 2019. In
the petition signed by David L. Snipes III, president, the Debtor
was estimated to have $0 to $50,000 in assets and $1 million to $10
million in liabilities. The Hon. Mike K. Nakagawa oversees the
case. Timothy P. Thomas, Esq., at the Law Office of Timothy Thomas,
LLC, serves as bankruptcy counsel.
ANA M GARZA: Seeks to Hire DeMarco-Mitchell as Counsel
------------------------------------------------------
Ana M Garza, Inc. seeks approval from the US Bankruptcy Court for
the Northern District of Texas to hire DeMarco-Mitchell, PLLC as
its counsel.
Ana M Garza requires DeMarco-Mitchell to:
a. take all necessary action to protect and preserve the
Estate, including the prosecution of actions on its behalf, the
defense of any actions commenced against it, negotiations
concerning all litigation in which it is involved, and objecting to
claims;
b. prepare on behalf of the Debtor all necessary motions,
applications, answers, orders, reports, and papers in connection
with the administration of the estate;
c. formulate, negotiate, and propose a plan of reorganization;
and
d. perform all other necessary legal services in connection
with these proceedings.
DeMarco-Mitchell's hourly rates are:
Attorneys
Robert T. DeMarco $350
Michael S. Mitchell $300
Paralegals
Barbara Drake $125
The counsel had requested a retainer of f $6,700 to represent the
Debtor in this chapter 11 case.
Robert T. DeMarco, Esq. of DeMarco-Mitchell attests that the firm
does not hold or represent any material interest adverse to the
Debtor or its bankruptcy estate, and is a "disinterested person" as
that term is defined in section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Robert T. DeMarco, Esq.
Michael S. Mitchell, Esq.
DeMarco-Mitchell, PLLC
1255 W. 15th Street, 805
Plano, TX 75075
Tel: 972‐578‐1400
Fax: 972‐346‐6791
Email: robert@demarcomitchell.com
mike@demarcomitchell.com
About Ana M Garza, Inc.
Based in Garland, Texas, Ana M Garza, Inc. filed a voluntary
petition under Chapter 11 of the United States Bankruptcy Code
(Bankr. N.D. Tex. Case No. 19-33677) on Nov 3, 2019, listing under
$1 million in both assets and liabilities. Robert Thomas DeMarco,
Esq. at DEMARCO MITCHELL, PLLC represents the Debtor as counsel.
ANNA HOLDINGS: Case Summary & 30 Largest Unsecured Creditors
------------------------------------------------------------
Twenty affiliates that have filed voluntary petitions seeking
relief under Chapter 11 of the Bankruptcy Code:
Debtor Case No.
------ --------
Anna Holdings, Inc. (Lead Case) 19-12551
6600 Corporate Center Parkway
Jacksonville, FL 32216
AC Holdings, Inc. 19-12552
Acosta Frontline, LLC 19-12553
Acosta Military International, Inc. 19-12554
Acosta Military Sales, LLC 19-12555
Acosta Services, Inc. 19-12556
Acosta Subsidiary Holdings, Inc. 19-12557
Acosta UK Holdings, LLC 19-12558
Acosta, Inc. 19-12559
ActionLink Services, LLC 19-12560
ADW Acosta, LLC 19-12561
ADW UK, LLC 19-12562
AMG Marketing Services, LLC 19-12563
Anna Acquisition Company, Inc. 19-12564
Mosaic Canada Holdings Inc. 19-12565
Mosaic Employee Holdco, LLC 19-12566
Mosaic Parent Holdings Inc. 19-12567
Mosaic Sales Solutions US Operating Co., LLC 19-12568
The Vine Direct Agency, LLC 19-12569
Vine Parent Holdings, LLC 19-12570
Business Description: The Debtors, together with their non-Debtor
affiliates, comprise a multinational
enterprise that provides a range of sales,
marketing, and retail services to global
consumer product good manufacturers,
technology companies, and retailers. The
Debtors are headquartered in Jacksonville,
Florida, but its operations are extensive
and span across the United States, Canada,
and Europe. Visit https://www.acosta.com
for more information.
Chapter 11 Petition Date: December 1, 2019
Court: United States Bankruptcy Court
District of Delaware (Delaware)
Judge: Hon. Christopher S. Sontchi
Debtors' Local
Bankruptcy
Counsel: Michael W. Yurkewicz, Esq.
Domenic E. Pacitti, Esq.
Sally E. Veghte, Esq.
KLEHR HARRISON HARVEY BRANZBURG LLP
919 N. Market Street, Suite 1000
Wilmington, Delaware 19801
Tel: (302) 426-1189
Email: myurkewicz@klehr.com
dpacitti@klehr.com
sveghte@klehr.com
Debtors'
General
Bankruptcy
Counsel: Edward O. Sassower, P.C.
Joshua A. Sussberg, P.C.
Christopher T. Greco, P.C.
KIRKLAND & ELLIS LLP
KIRKLAND & ELLIS INTERNATIONAL LLP
601 Lexington Ave
New York, New York 10022
Tel: (212) 446-4800
Fax: (212) 446-4900
Email: edward.sassower@kirkland.com
joshua.sussberg@kirkland.com
christopher.greco@kirkland.com
- and -
Spencer Winters, Esq.
KIRKLAND & ELLIS LLP
KIRKLAND & ELLIS INTERNATIONAL LLP
300 North LaSalle
Chicago, Illinois 60654
Tel: (312) 862-2000
Fax: (312) 862-2200
Email: spencer.winters@kirkland.com
Debtors'
Provider
of Interim
Management
Services: ALVAREZ & MARSAL NORTH AMERICA, LLC
Debtors'
Financial
Advisor &
Investment
Banker: PJT PARTNERS LP
Debtors'
Notice &
Claims
Agent: PRIME CLERK LLC
https://cases.primeclerk.com/acosta/Home-Index
Debtors' Tax
Consultant: PRICEWATERHOUSECOOPERS LLP
Counsel to the
Disinterested
Directors: KATTEN MUCHIN ROSENMAN
Estimated Assets
(on a consolidated basis): $500 million to $1 billion
Estimated Liabilities
(on a consolidated basis): $1 billion to $10 billion
The petitions were signed by Matthew D. Laurie, interim chief
financial officer.
A full-text copy of Anna Holdings' petition is available for free
at:
http://bankrupt.com/misc/deb19-12551.pdf
Consolidated List of Debtors' 30 Largest Unsecured Creditors:
Entity Nature of Claim Claim Amount
------ --------------- ------------
1. Wilmington Trust, Senior Notes $800,000,000
National Association Dated Sept. 6, + interest
Attn: Corporate Capital Markets 2014
246 Goose Lane, Suite 105
Guilford, CT 06437
United States
Tel: (203) 453-4130
2. Action Link, LLC Seller Notes $15,490,229
3. Bey, Elijah Litigation $3,000,000
Attn: Solomon Gresent, Esq.
Jack Risemberg, Esq.
Counsel For Elijah Bey
15910 Ventura Blvd, Suite 1610
Encino, CA 91436
United States
Tel: Gresent - 818-815-2727
Risemberg - 818-815-2727
Email: Gresent - Seg@Rglawyers.Com
Risemberg - Jr@Rglawyers.Com
4. Pet Firm Seller Notes $1,750,000
Attn: San Roman, Michael E.
5. Higgins Cohn Brand Management Seller Notes $1,540,000
Attn: Patrick Higgins, President
Box 291
Campbellville, ON L0P 1B0
Canada
Tel: 905-856-8252
6. Neilson, Chris V. Deferred $1,159,771
Compensation
7. Hargrove Inc. Trade Payable $1,135,700
Attn: Tim McGill
Chief Executive Officer
1 Hargrove Drive
Lanham, MD 20706
United States
Tim McGill
Tel: 301-306-9000
Email: timmcgill@hargroveinc.com
8. Raines, Boyd W. Deferred $1,045,120
Compensation
9. SBR Partners Seller Notes $952,000
Attn: Stanley Shapiro
10 E. Merrick Rd, Suite 305
Valley Stream, NY 11580
United States
10. Trevino, Rudy Litigation $900,000
Attn: James Fitzpatrick, Esq.
Fitzpatrick, Spini & Swanston
10 Counsel for Rudy Trevino
555 S Main Street
Salinas, CA 93901
United States
Tel: 831-755-1311
Email: jfitzpatrick@fandslegal.com
11. Optimad Media, LLC Trade Payable $875,558
Attn: Kevin Weisberg, CEO
13217 Jamboree Rd
Tustin, CA 92782
United States
Tel: 213-545-1123
Email: kevin@optimadmedia.com
12. Rodriguez Bas, Alejandro Severance $749,999
13. Gennaro, Joseph L. Deferred $697,548
Compensation
14. Sales Results Inc. Seller Notes $686,284
Attn: Kent Pilakowski
15. CFM Services Inc. Seller Notes $637,500
Attn: Renette Visagie
1240 Nordica Lane
Cincinnati, OH 45255
United States
Renette Visagie
Tel: 513-474-1582
Email: ranettev@cinci.rr.com
16. James Mattson Seller Notes $600,000
17. Prewitt, Dane Alan Deferred $597,776
Compensation
18. McIntyre, David J. Deferred $594,398
Compensation
19. Pulse LTD LLC Trade Payable $580,600
Attn: Jeffrey Maguire
Chief Executive Officer
12628 Chillicothe Rd, Unit H
Chesterland, OH 44026
United States
Tel: 800-570-0482
Email: jmaguire@pulsellc.com
20. Liam 2004 Films LLC Trade Payable $503,949
Attn: Afredo Rodriguez De Villa
Member
640 Vernon Ave
Venice, CA 90291
United States
Tel: 917-749-2244
21. Lightfoot, Timothy Scott Deferred $472,983
Compensation
22. Gronowski, Jamie S. Deferred $458,948
Compensation
23. Amthor, Teri Deluca Deferred $456,794
Compensation
24. Johnson, David L. Deferred $403,775
Compensation
25. McDaniel, David Franklin Deferred $387,185
Compensation
26. The Nielsen Company Trade Payable $378,916
Attn: David Kenny
Chief Executive Officer
200 W Jackson Blvd
Chicago, IL 60606
United States
David Kenny
Email - David.Kenny@nielsen.com
27. Hebert Holdings, Inc. Seller Notes $375,000
Attn: Derick Hebert
28. Dean Foods Litigation Undetermined
Attn: Leon Carter, Esq.,
Carter Arnett PLLC
8150 N Central Pkwy, Suite 500
Dallas, TX 75206
United States
Leon Carter, Esq., Carter Arnett PLLC
Tel: 214-550-8188
Email: Lcarter@Carterarnett.Com
29. Coyle, Amber (Plaintiff), Litigation Undetermined
et. al.
Attn: Peter Hart
Law Offices of Peter Hart
12121 Wilshire Blvd, Suite 725
Los Angeles, CA 90025
United States
Tel: 310-478-5789
Fax: 509-561-6441
Email: hartpeter@msn.com
30. Pension Benefit Pension Undetermined
Guaranty Corporation
Attn: Patricia Kelly
Chief Financial Officer
1200 K Street, NW
Washington, DC 20005
United States
Patricia Kelly
Tel: 202-326-4110
Fax: 202-229-4047
Email: pbgcpublicaffairs@pbgc.gov
APPROACH RESOURCES: Reports $19.2 Million Third Quarter Net Loss
----------------------------------------------------------------
Approach Resources Inc. filed its quarterly report on Form 10-Q,
disclosing a net loss of $19,183,000 on $15,416,000 of revenues for
the three months ended Sept. 30, 2019, compared to a net loss of
$4,261,000 on $32,562,000 of revenues for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $1,054,954,000,
total liabilities of $515,305,000, and $539,649,000 in total
stockholders' equity.
The Company's liquidity and ability to comply with financial
covenants under its revolving credit facility have been negatively
impacted by the volatility in commodity prices, and by the severe
natural gas price discount in the Permian Basin. As of September
30, 2019, the Company's revolving credit facility contains three
principal financial covenants: (i) a consolidated interest coverage
ratio, (ii) a consolidated modified current ratio and (iii) a
consolidated total leverage ratio. As of September 30, 2019, the
Company was not in compliance with the financial covenants under
its revolving credit facility, which represents an event of default
under its revolving credit facility. The Company's revolving
credit facility matures on May 7, 2020, and it has classified the
outstanding balance on its revolving credit facility as a current
liability as of September 30, 2019. According to the Company,
these factors raise substantial doubt about its ability to continue
as a going concern.
On November 18, 2019, (the "Petition Date"), the Company along with
all of its subsidiaries (the "Filing Subsidiaries" and, together
with the Company, the "Debtors") filed voluntary petitions
(collectively, the "Bankruptcy Petitions") under Chapter 11
("Chapter 11"), of Title 11 of the U.S. Code (the "Bankruptcy
Code") in the United States Bankruptcy Court for the Southern
District of Texas (the "Court"). The Debtors have filed a motion
to have their Chapter 11 cases (collectively, the "Chapter 11
Cases") jointly administered under the caption In re Approach
Resources Inc., et al. Each Debtor will continue to operate its
business and manage its properties as a "debtor in possession"
under the jurisdiction of the Court and in accordance with the
applicable provisions of the Bankruptcy Code and the orders of the
Court.
A copy of the Form 10-Q is available at:
https://is.gd/0x5Zsu
Approach Resources Inc., an independent energy company, focuses on
the acquisition, exploration, development, and production of
unconventional oil and gas reserves. The company's properties are
primarily located in the Permian Basin in west Texas. It also owns
interests in east Texas Basin. Approach Resources, Inc. was
incorporated in 2002 and is headquartered in Fort Worth, Texas. On
November 18, 2019, Approach Resources, Inc. filed a voluntary
petition for reorganization under Chapter 11 in the U.S. Bankruptcy
Court for the Southern District of Texas. It is in joint
administration with Approach Midstream Holdings LLC.
BELLANO JEWELERS: Seeks to Hire DeMarco-Mitchell as Counsel
-----------------------------------------------------------
Bellano Jewelers, LLC, seeks authorization from the U.S. Bankruptcy
Court for the Northern District of Texas to hire DeMarco-Mitchell,
PLLC as its counsel.
Bellano Jewelers requires DeMarco-Mitchell to:
a. take all necessary action to protect and preserve the
Estate, including the prosecution of actions on its behalf, the
defense of any actions commenced against it, negotiations
concerning all litigation in which it is involved, and objecting to
claims;
b. prepare on behalf of the Debtor all necessary motions,
applications, answers, orders, reports, and papers in connection
with the administration of the estate;
c. formulate, negotiate, and propose a plan of reorganization;
and
d. perform all other necessary legal services in connection
with these proceedings.
DeMarco-Mitchell's hourly rates are:
Attorneys
Robert T. DeMarco $350
Michael S. Mitchell $300
Paralegals
Barbara Drake $125
DeMarco-Mitchell has been paid a retainer of $7,000.00 (inclusive
of the filing fee of $1,717.00) for legal services to be rendered.
Robert T. DeMarco, Esq. of DeMarco-Mitchell attests that the firm
does not hold or represent any material interest adverse to the
Debtor or its bankruptcy estate, and is a "disinterested person" as
that term is defined in section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Robert T. DeMarco, Esq.
Michael S. Mitchell, Esq.
DeMarco-Mitchell, PLLC
1255 W. 15th Street, 805
Plano, TX 75075
Tel: 972‐578‐1400
Fax: 972‐346‐6791
Email: robert@demarcomitchell.com
mike@demarcomitchell.com
About Bellano Jewelers LLC
Bellano Jewelers, LLC, a Texas limited liability company, owns and
operates a retail jewelry store, in Fort Worth, Texas. Bellano
sought protection under Chapter 11 of the Bankruptcy Code (Bankr.
N.D. Tex. Case No. 19-44431) on Oct. 31, 2019. At the time of the
filing, the Debtor disclosed assets under $500,000 and liabilities
under $1 million. Judge Edward L Morris is assigned to the case.
The Debtor is represented by DeMarco Mitchell, PLLC.
BIOHITECH GLOBAL: Incurs $1.3MM Comprehensive Loss for 3rd Quarter
------------------------------------------------------------------
BioHiTech Global, Inc. filed its quarterly report on Form 10-Q,
disclosing a comprehensive loss of $1,339,149 on $1,426,775 of
total revenue for the three months ended Sept. 30, 2019, compared
to a comprehensive loss of $1,993,307 on $1,088,082 of total
revenue for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $56,890,054,
total liabilities of $46,097,757, and $10,065,744 in total
stockholders' equity.
For the nine months September 30, 2019, the Company had a
consolidated net loss of $7,183,649, incurred a consolidated loss
from operations of $5,462,215 and used net cash in consolidated
operating activities of $6,017,512. At September 30, 2019,
consolidated total stockholders' equity amounted to $10,065,744,
consolidated stockholders' equity attributable to parent amounted
to $3,922,118 and the Company had a consolidated working capital
deficit of $2,362,974.
The Company does not yet have a history of financial profitability.
Historically, the principal source of liquidity has been the
issuance of debt and equity securities. Presently, the Company
does not have firm commitments to fund its future operational and
strategic plans. These factors raise substantial doubt about the
Company's ability to continue as a going concern.
A copy of the Form 10-Q is available at:
https://is.gd/HOzJu8
BioHiTech Global, Inc., through its subsidiaries, provides
technological, biological, and mechanical engineering solutions for
the control, reduction, and/or reuse of organic and municipal waste
worldwide. The company sells, rents, services, and maintains
digesters, which are a data-driven network-based
mechanical/biological technology that transforms food waste into
nutrient-neutral water that could be disposed of through
conventional sanitary sewer systems under the Revolution Series
Digester and Eco-Safe Digester names. BioHiTech Global, Inc., is
headquartered in Chestnut Ridge, New York.
BLUE LINE: Reports $451,000 Net Loss for Quarter Ended Sept. 30
---------------------------------------------------------------
Blue Line Protection Group, Inc. filed its quarterly report on Form
10-Q, disclosing a net loss of $450,841 on $1,047,162 of revenue
for the three months ended Sept. 30, 2019, compared to a net loss
of $586,366 on $955,142 of revenue for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $1,661,149,
total liabilities of $5,917,384, and $4,256,235 in total
stockholders' deficit.
The Company has a net loss for the nine months ended September 30,
2019, accumulated deficit and had a working capital deficit as of
September 30, 2019. These conditions raise substantial doubt about
the Company’s ability to continue as a going concern.
The Company said that in order to continue as a going concern, it
will need, among other things, additional capital resources.
Daniel Allen, the Company's principal executive, financial and
accounting officer, said, "The Company is significantly dependent
upon its ability, and will continue to attempt, to secure
additional equity and/or debt financing. There are no assurances
that the Company will be successful and without sufficient
financing it would be unlikely for the Company to continue as a
going concern."
A copy of the Form 10-Q is available at:
https://is.gd/8H9FzG
Blue Line Protection Group, Inc. provides armed protection,
logistics, and compliance services for businesses engaged in the
legal cannabis industry in the United States. It offers asset
logistic services comprising armored transportation services;
security services, including shipment protection, money escorts,
security monitoring, asset vaulting, and VIP and dignitary
protection; financial services, such as handling transportation and
storage of currency; and training services. The company was
formerly known as The Engraving Masters, Inc. and changed its name
to Blue Line Protection Group, Inc. in May 2014. Blue Line
Protection Group, Inc. was founded in 2006 and is headquartered in
Denver, Colorado.
BLUE STAR: Incurs $1.3MM Net Loss for the Quarter Ended Sept. 30
----------------------------------------------------------------
Blue Star Foods Corp. filed its quarterly report on Form 10-Q,
disclosing a net loss of $1,288,238 on $5,081,164 of net revenue
for the three months ended Sept. 30, 2019, compared to a net income
of $346,907 on $6,815,000 of net revenue for the same period in
2018.
At Sept. 30, 2019, the Company had total assets of $11,534,643,
total liabilities of $13,758,151, and $2,223,508 in total
stockholder's deficit.
For the nine months ended September 30, 2019, the Company incurred
a net loss of $3,480,979, has an accumulated deficit of $7,418,898
and working capital deficit of $2,524,506, with the current
liabilities inclusive of $2,910,136 in stockholder loans that are
subordinated to the provider of the working capital facility, and
$124,244 in the current portion of the lease liability recognition.
These circumstances raise substantial doubt as to the Company's
ability to continue as a going concern.
The Company's ability to continue as a going concern is dependent
upon the Company's ability to increase revenues, execute on its
business plan to acquire complimentary companies, raise capital,
and to continue to sustain adequate working capital to finance its
operations. The failure to achieve the necessary levels of
profitability and cash flows would be detrimental to the Company.
A copy of the Form 10-Q is available at:
https://is.gd/i0jGYR
Blue Star Foods Corp. processes, imports, packages, and sells
refrigerated seafood products. It offers pasteurized blue and red
crab meat, and other seafood products, including crab cake,
finfish, and wakami salad under the Blue Star, Oceanica, Pacifika,
Crab & Go, and Harbor Banks brands. The company sells its products
to food service distributors, wholesalers, retail establishments,
and seafood distributors in the United States, Canada, Europe,
Mexico, Central America, the Caribbean, the United Arab Emirates,
Singapore, and Hong Kong. Blue Star Foods Corp. was founded in
1995 and is headquartered in Miami, Florida.
CANBIOLA INC: Posts $941K Comprehensive Loss for Sept. 30 Quarter
-----------------------------------------------------------------
Canbiola, Inc. filed its quarterly report on Form 10-Q, disclosing
a loss and comprehensive loss of $941,099 on $615,422 of total
revenues for the three months ended Sept. 30, 2019, compared to a
loss and comprehensive loss of $4,155,699 on $163,328 of total
revenues for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $6,764,997,
total liabilities of $282,518, and $6,482,479 in total
stockholders' equity.
As of September 30, 2019, the Company had cash and cash equivalents
of $471,068 and a working capital of $3,680,532. For the nine
months ended September 30, 2019 and 2018, the Company had net loss
of $3,546,104 and $4,723,017, respectively. These factors raise
substantial doubt as to the Company's ability to continue as a
going concern. The Company plans to improve its financial
condition by raising capital through sales of shares of its common
stock. Also, the Company plans to expand its operation of CBD
products to increase its profitability.
A copy of the Form 10-Q is available at:
https://is.gd/6G18K8
Canbiola, Inc., provides document, project, marketing and sales
management systems to business clients through its website and
proprietary software and also have a division focusing on the
development and sale of products containing CBD. The company was
formerly known as WRAPmail, Inc., and changed its name to Canbiola,
Inc., in May 2017. Canbiola, Inc. was founded in 2005 and is based
in Hicksville, New York.
CANCER GENETICS: Posts $2.0MM Net Income for Sept. 30 Quarter
-------------------------------------------------------------
Cancer Genetics, Inc. filed its quarterly report on Form 10-Q,
disclosing a net income of $1,975,000 on $2,069,000 of revenue for
the three months ended Sept. 30, 2019, compared to a net loss of
$8,519,000 on $535,000 of revenue for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $20,836,000,
total liabilities of $13,372,000, and $7,464,000 in total
stockholders' equity.
The Company said, "At September 30, 2019, our cash position and
history of losses required management to assess our ability to
continue operating as a going concern, according to FASB ASC
205-40, Disclosure of Uncertainties about an Entity's Ability to
Continue as a Going Concern. Prior to the closing of the Business
Disposals transactions in July 2019, the Company did not anticipate
having sufficient cash at September 30, 2019 to fund normal
operations beyond the next three months unless certain current
assets were converted to cash. After the Business Disposals, the
Company's ability to continue as a going concern is still dependent
on the Company's ability to raise additional equity or debt
capital, spin-off non-core assets to raise additional cash, collect
its outstanding accounts receivable and collect amounts held in
escrow by Buyer or receive the Earn-Out payments from siParadigm
without significant offsets, and negotiate discounts in good faith
with its trade suppliers. These factors raise substantial doubt
about the Company's ability to continue as a going concern for the
next twelve months from the issuance of this current report on Form
10-Q."
A copy of the Form 10-Q is available at:
https://is.gd/oFex9H
Cancer Genetics, Inc. develops, commercializes, and provides
molecular and biomarker-based tests and services in the United
States, Europe, and Asia. Its tests enable physicians to
personalize the clinical management of each individual patient by
providing genomic information to diagnose, monitor, and inform
cancer treatment; and enable biotech and pharmaceutical companies
involved in oncology and immuno-oncology trials to select candidate
populations and reduce adverse drug reactions by providing
information regarding genomic factors influencing subject responses
to therapeutics. The Company was founded in 1999 and is based in
Rutherford, New Jersey.
CAVITATION TECHNOLOGIES: Posts $38,000 Net Income for 3rd Quarter
-----------------------------------------------------------------
Cavitation Technologies, Inc. filed its quarterly report on Form
10-Q, disclosing a net income of $38,000 on $351,000 of revenue for
the three months ended Sept. 30, 2019, compared to a net loss of
$256,000 on $55,000 of revenue for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $1,468,000,
total liabilities of $2,249,000, and $781,000 in total
stockholders' deficit.
During the three months ended September 30, 2019, the Company
realized a net income of $38,000 compared to a net loss of $256,000
in September 30, 2018, had a working capital deficit of $886,000
and a stockholders' deficit of $781,000 at September 30, 2019.
These factors, among others, raise substantial doubt about the
Company's ability to continue as a going concern within one year of
the date that the financial statements are issued. In addition,
the Company's independent registered public accounting firm, in its
report on the Company's June 30, 2019 financial statements, has
expressed substantial doubt about the Company's ability to continue
as a going concern.
A copy of the Form 10-Q is available at:
https://is.gd/T8RJGi
Cavitation Technologies, Inc. develops, patents, and commercializes
proprietary technology for use in liquid processing applications in
the United States. It offers Nano Neutralization system for
refining vegetable oils, such as soybean, rapeseed, canola, and
palm oil. The company also develops technology based systems that
are designed to serve various markets, such as vegetable oil
refining, renewable fuels, water treatment, wines and spirits
enhancement, algae oil extraction, water-oil emulsions, and crude
oil yield enhancement. Cavitation Technologies, Inc. was founded in
2007 and is headquartered in Chatsworth, California.
CEN BIOTECH: Incurs $1.3MM Net Loss for the Quarter Ended Sept. 30
------------------------------------------------------------------
CEN Biotech, Inc. filed its quarterly report on Form 10-Q,
disclosing a net loss of $1,332,512 on $0 of revenues for the three
months ended Sept. 30, 2019, compared to a net loss of $1,388,783
on $0 of revenues for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $7,379,009,
total liabilities of $31,973,266, and $24,594,257 in total
shareholders' deficit.
The Company said, "A substantial doubt has been raised with regard
to the ability of the Company to continue as a going concern. The
Company has incurred significant operating losses and negative cash
flows from operations since inception. The Company had an
accumulated deficit of $40,080,967 at September 30, 2019 and had no
committed source of additional debt or equity financing. The
Company has not had any operating revenue and does not foresee any
operating revenue in the near term. The Company has relied on the
issuance of loans payable and convertible debt instruments to
finance its expenses, including notes that are in default. The
Company will be dependent upon raising additional capital through
placement of our common stock, notes or other securities in order
to implement its business plan or additional borrowings, including
from related parties. There can be no assurance that the Company
will be successful in either situation in order to continue as a
going concern."
A copy of the Form 10-Q is available at:
https://is.gd/xXo3Qc
CEN Biotech, Inc. focuses on the manufacture, production, and
development of products within the cannabis industry, including LED
lighting technology and hemp-based products. It intends to
cultivate hemp for usage in industrial, medical, and food products.
The company was founded in 2013 and is based in Windsor, Canada.
CENTURY IOWA MOTELS: Case Summary & 8 Unsecured Creditors
---------------------------------------------------------
Debtor: Century Iowa Motels, LLC
dba Ramada Tropics Resort & Confrence Center
PO Box 8007
Rapid City, SD 57709-8007
Case No.: 19-50207
Business Description: Century Iowa Motels, LLC, doing business
as Ramada Tropics Resort & Conference
Center, is a hotel located at 5000 Merle Hay
Rd
in Des Moines, IA.
Chapter 11 Petition Date: December 1, 2019
Court: United States Bankruptcy Court
District of South Dakota (Western (Rapid City))
Judge: Hon. Charles L. Nail, Jr.
Debtor's Counsel: Robert L. Meadors, Esq.
BRENDE & MEADORS LLP
P.O. Box 1024
Sioux Falls, SD 57101-1024
Tel: 605-333-0070
Fax: 605-333-0121
Email: rlm@bsmllp.com
Total Assets: $15,467,481
Total Liabilities: $18,755,072
The petition was signed by Michael Wieseler, member.
A full-text copy of the petition is available for free at:
http://bankrupt.com/misc/scb19-50207.pdf
List of Debtor's Eight Unsecured Creditors:
Entity Nature of Claim Claim Amount
------ --------------- ------------
1. Black Hills Bank Loan $550,000
Community Bank, N.A.
840 Mount
Rushmore Rd
Rapid City, SD
57701-3603
2. Black Hills Private Loan $750,000
Managment, LLC
258 Evans Ln
Spearfish, SD
57783-1129
3. First Bank & Trust Bank Loan $775,880
PO Box 1347
Sioux Falls, SD
57101-1347
4. ICC, LLC Mechanic Lien/ $1,054,534
615 Highway 1 W Contract
Iowa City, IA
52246-4244
5. Iowa Department of Revenue Taxes $11,709
PO Box 10330
Des Moines, IA
50306-0330
6. Polk County Real Property $159,985
Treasurer Taxes
111 Court Ave
Des Moines, IA
50309-2218
7. Ramada Worldwide Inc. Franchise Fees $42,482
15018 Collection Center Dr
Chicago, IL 60693-0150
8. Sharon Hentzen Personal $0
90 Deepwoods Dr Injury
Linn Valley, KS Claim
66040-5211
CITADEL EXPLORATION: Incurs $1.1MM Net Loss for Sept. 30 Quarter
----------------------------------------------------------------
Citadel Exploration, Inc. filed its quarterly report on Form 10-Q,
disclosing a net loss of $1,141,354 on $28,404 of revenue for the
three months ended Sept. 30, 2019, compared to a net loss of
$423,540 on $320,774 of revenue for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $5,933,136,
total liabilities of $7,407,992, and $1,474,856 in total
stockholders' deficit.
Since its inception, the Company has been engaged substantially in
financing activities and developing its business plan and incurring
startup costs and expenses. As a result, the Company has
experienced recurring losses resulting in an accumulated deficit
and a working capital deficit as of September 30, 2019 of
$15,683,027 and $7,084,279, respectively. In addition, the
Company's development activities since inception have been
financially sustained through debt and equity financing. These
factors raised substantial doubt as to the Company's ability to
continue as a going concern.
A copy of the Form 10-Q is available at:
https://is.gd/fmN7ri
Citadel Exploration, Inc., an energy company, engages in the
exploration and development of oil and natural gas properties in
the San Joaquin Basin of California. It holds a 100% working
interest in the Kern Bluff Oil Field covering an area of
approximately 1,100 acres, as well as a 75% interest in the
Yowlumne lease comprising an area of approximately 2,800 acres
located in Kern County, California; and a 100% working interest in
the Project Indian located in the Bitterwater sub-basin of the
Salinas Basin. The company was founded in 2006 and is based in
Newport Beach, California.
CORE MOLDING: Needs More Financing to Continue as Going Concern
---------------------------------------------------------------
Core Molding Technologies, Inc. filed its quarterly report on Form
10-Q, disclosing a net loss of $6,125,000 on $74,655,000 of net
sales for the three months ended Sept. 30, 2019, compared to a net
loss of $1,802,000 on $64,676,000 of net sales for the same period
in 2018.
At Sept. 30, 2019, the Company had total assets of $195,038,000,
total liabilities of $105,119,000, and $89,919,000 in total
stockholders' equity.
Core Molding said, "While the Company is working with the existing
lenders to enter into a forbearance agreement, it cannot guarantee
the parties will be able to reach mutually agreeable terms, or
predict if the Lenders will exercise their rights and remedies
under the A/R Credit agreement beyond the term of any forbearance
agreement. Additionally, since the Company has no firm commitments
for additional financing, there can be no assurances that the
Company will be able to secure additional financing on terms that
are acceptable to the Company, or at all. As there can be no
assurance that the Company will be able to successfully implement
its refinancing plan, these conditions raise substantial doubt
about the Company's ability to continue as a going concern."
A copy of the Form 10-Q is available at:
https://is.gd/6E6zE1
Core Molding Technologies, Inc., together with its subsidiaries,
manufactures sheet molding compound (SMC) and molder of thermoset
and thermoplastic products. It specializes in large-format moldings
and offers a range of fiberglass processes, including compression
molding of SMC, glass mat thermoplastics, bulk molding compounds,
and direct long-fiber thermoplastics; and spray-up, hand lay-up,
resin transfer molding, structural foam and structural Web
injection molding, reaction injection molding, and utilizing
dicyclopentadiene technology. The company serves various markets,
including medium and heavy-duty trucks, automobiles, marine,
construction, and other commercial markets. It sells its products
in the United States, Mexico, and Canada. The company was formerly
known as Core Materials Corporation and changed its name to Core
Molding Technologies, Inc. in August 2002. Core Molding
Technologies, Inc. was incorporated in 1996 and is headquartered in
Columbus, Ohio.
CTI INDUSTRIES: Reports $1.2MM Net Loss for Quarter Ended Sept. 30
------------------------------------------------------------------
CTI Industries Corporation filed its quarterly report on Form 10-Q,
disclosing a net loss of $1,238,924 on $8,537,475 of net sales for
the three months ended Sept. 30, 2019, compared to a net loss of
$546,225 on $11,525,469 of net sales for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $32,897,091,
total liabilities of $30,949,876, and $1,947,215 in total equity.
The Company said, "During 2019 we attempted to execute a major
capital event with a partner that would infuse money, among other
attributes. That effort was unsuccessful as envisioned. We are
currently seeking to execute on one or more smaller transactions,
as well as pursue other financing options. There is no assurance
that any of these efforts will be successful.
"In addition, due to financial performance in 2016, 2017 and 2018,
including net income/(losses) attributable to the Company of $0.7
million, ($1.6 million), and ($3.6 million), respectively, we
believe that substantial doubt about our ability to continue as a
going concern exists at September 30, 2019."
A copy of the Form 10-Q is available at:
https://is.gd/yf2yfy
CTI Industries Corporation develops, produces, and distributes
consumer and film products for commercial and industrial uses in
the United States, the United Kingdom, Europe, and Mexico. The
company sells its products directly, as well as through a network
of distributors and wholesalers, and independent sales
representatives. CTI Industries Corporation was founded in 1975 and
is headquartered in Lake Barrington, Illinois.
DATA STORAGE: Incurs $133,000 Net Loss for Quarter Ended Sept. 30
-----------------------------------------------------------------
Data Storage Corporation filed its quarterly report on Form 10-Q,
disclosing a net loss of $133,288 on $2,013,662 of sales for the
three months ended Sept. 30, 2019, compared to a net income of
$228,497 on $2,560,512 of sales for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $7,379,837,
total liabilities of $5,733,858, and $1,645,979 in total
stockholder's equity.
The Company had net loss of US$43,707 for the nine months ended
September 30, 2019. As of September 30, 2019, DSC had cash of
US$283,682 and a working capital deficiency of US$2,554,333. As a
result, these conditions raised substantial doubt regarding the
Company's ability to continue as a going concern. During the nine
months ended September 30, 2019, the Company generated cash from
operations of US$634,428. The Company continues to invest in sales
staff both direct and indirect as well as marketing programs, while
investing in technology and sales automation.
The Company said, "Based on this continued planned investment to
gain additional subscription contracts, we incurred a net loss for
the nine months ended September 30, 2019. Gross profit margins for
the nine months has increased from 39% to 44% based on fewer
equipment sales and additional subscription contracts. Equipment
sales carry a lower margin and are one-time events."
A copy of the Form 10-Q is available at:
https://is.gd/56w8Nf
Data Storage Corporation provides disaster recovery, business
continuity, cloud storage, and compliance solutions primarily in
the United States. The company's solutions assist organizations in
protecting their data, minimize downtime, and ensure regulatory
compliance. Its solutions include infrastructure-as-a-service, data
backup, recovery and restore, and data replication services; email
archival and compliance; eDiscovery; continuous data protection;
data de-duplication; and virtualized system recovery, as well as
hybrid cloud services. The company offers its solutions and
services to businesses in healthcare, banking and finance,
distribution services, manufacturing, construction, education, and
government sectors. Data Storage Corporation is headquartered in
Melville, New York.
DIAMONDHEAD CASINO: Has $111K Net Loss for Quarter Ended Sept. 30
-----------------------------------------------------------------
Diamondhead Casino Corporation filed its quarterly report on Form
10-Q, disclosing a net loss of $110,580 on $0 of revenues for the
three months ended Sept. 30, 2019, compared to a net loss of
$278,508 on $0 of revenues for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $5,482,319,
total liabilities of $12,380,640, and $6,898,321 in total
stockholders' deficiency.
The Company has incurred continued losses over the years and
certain conditions raise substantial doubt about the Company's
ability to continue as a going concern. The Company has had no
operations since it ended its gambling cruise ship operations in
2000. Since that time, the Company had concentrated its efforts on
the development of its Diamondhead, Mississippi Property. The
development of the Diamondhead Property would be dependent on
obtaining the necessary capital, through equity and/or debt
financing, unilaterally, or in conjunction with one or more
partners, to master plan, design, obtain permits for, construct,
staff, open, and operate a casino resort. In the past, the Company
has been able to sustain itself through various short term
borrowings, however, as of September 30, 2019, the Company had
$4,667 of cash on hand, while accounts payable and accrued expenses
totaled $7,917,033 and the Company had an accumulated deficit of
$39,156,790. In addition, the Company reported a net loss
applicable to common shareholders of $1,086,187 for the nine months
ended September 30, 2019.
Therefore, in order to sustain itself, the Company said that it is
"imperative" that the Company secure a source of funds to provide
further working capital.
In addition, a Line of Credit in the amount of $1,000,000 obtained
in October 2008, was payable in November 2012 and Convertible Notes
issued pursuant to two Private Placements offered in 2010, totaling
$962,500 in principal at December 31, 2018, had become payable
beginning in March 2012 and extending at various dates through June
2013. As of the date of the filing of this report, none of the
aforementioned debt obligations have been satisfied and the Company
is in default of the repayment terms of those facilities. In
addition, holders of Debentures representing $1,500,000 of the
$1,850,000 of Debentures issued, filed Complaints against the
Company in the United States District Court for the District of
Delaware and in the Superior Court for the State of Delaware for
amounts they assert are due and owing pursuant to certain
Collateralized Convertible Senior Debentures issued on March 31,
2014 and December 31, 2014. The plaintiffs are seeking $1.5
million in principal plus interest from January 1, 2015, together
with costs and fees.
The management of the Company believes it will be difficult to
secure suitable financing that would allow it to continue to pursue
ultimate development of the Property. Therefore, on March 25,
2019, Mississippi Gaming Corporation entered into a brokerage
agreement with an unrelated third party to seek a buyer for all or
part of the Property or, alternatively, to seek a joint venture
partner for the project. In addition, in the event it becomes
necessary in order to protect the Company's assets, the Board of
Directors has authorized the Company to file a petition for
reorganization under Chapter 11 of the United States Bankruptcy
Code.
The Company said that these conditions raise substantial doubt
about the its ability to continue as a going concern, and its
ability to generate cash to meet its cash requirements for the
following twelve months as of the date of the Form 10-Q.
A copy of the Form 10-Q is available at:
https://is.gd/5e15kc
About Diamondhead Casino
Largo, Fla.-based Diamondhead Casino Corporation and its
subsidiaries own a total of approximately 400 acres of unimproved
land in Diamondhead, Mississippi on which it plans, unilaterally,
or in conjunction with one or more partners, to construct a casino
resort and hotel and associated amenities. Active subsidiaries of
the Company include Mississippi Gaming Corporation, which owns the
approximate 400-acre site and Casino World, Inc., the development
entity.
DYNALYST CORPORATION: Case Summary & 20 Top Unsecured Creditors
---------------------------------------------------------------
Debtor: Dynalyst Corporation
1008 Carlos G Parker Blvd., SW
Taylor, TX 76574-4511
Case No.: 19-11635
Business Description: Dynalyst Corporation --
http://www.dynalyst.com-- is a
manufacturing company distinctly purposed
for the production of custom ATE Interface
Printed Circuit Boards (PCBs), fundamental
to the testing of integrated circuits.
Dynalyst Corporation was founded in early
2002 and is headquartered in Taylor, Texas.
The Company previously filed for bankruptcy
protection on July 2, 2018 (Bankr. W.D. Tex.
Case No. 18-10860).
Chapter 11 Petition Date: December 1, 2019
Court: United States Bankruptcy Court
Western District of Texas (Austin)
Judge: Hon. Tony M. Davis
Debtor's Counsel: Larry A. Vick, Esq.
LARRY A. VICK
13501 Katy Freeway, Suite 1460
Houston, TX 77079
Tel: (409) 795-7960
Fax: (832) 202-2821
Email: lv@larryvick.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by T. Craig Takacs, president.
A full-text copy of the petition containing, among other items, a
list of the Debtor's 20 largest unsecured creditors is available
for free at:
http://bankrupt.com/misc/txwb19-11635.pdf
EAGLE ENTERPRISES: Plan Payments to be Funded by Property Rentals
-----------------------------------------------------------------
Debtor Eagle Enterprises, LLC filed with the U.S. Bankruptcy Court
for the Middle District of Florida a disclosure statement
describing its plan of reorganization.
The Plan provides that Mercantile Capital, Inc. will to be paid in
full at 5.5% interest with 5-year payments of $2,500/mo with
balloon on 60th month for balance due.
LendingHome Funding Corp. will to be paid in full at 5.5% interest
in five-year payments of $1,500/mo with balloon on 60th month for
balance.
Prepetition utility bill to $100 was paid by shareholder
post-petition. Only remaining debts are to shareholders of $77,136
total paid at $100/mo through plan.
Equity interest holders shall receive $50/mo each toward unsecured
debts of $38,568 each to Thomas and Bryan Jones.
Payments and distributions under the Plan will be funded by the
rental of Florida property for $3,000/month and Kentucky property
for $3,500/month.
A full-text copy of the disclosure statement is available at
https://tinyurl.com/uya3bvx from PacerMonitor.com at no charge.
The Debtor is represented by Michael Barnett.
About Eagle Enterprises
Eagle Enterprises, LLC, sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. M.D. Fla. Case No. 19-07116) on July 29,
2019. In the petition, Eagle Enterprises was estimated to have
assets of less than $1 million and liabilities of less than
$500,000 as of the bankruptcy filing. The case is assigned to Judge
Catherine Peek Mcewen. Eagle Enterprises is represented by Michael
Barnett, P.A.
EP ENERGY: Committee Hires AlixPartners as Financial Advisor
------------------------------------------------------------
The Official Committee of Unsecured Creditors of EP Energy
Corporation and its debtor affiliates seeks approval from the U.S.
Bankruptcy Court for the Southern District of Texas to retain
AlixPartners, LLP, as financial advisor to the Committee.
The Committee requires AlixPartners to:
a. review and evaluate the Debtors' current financial
condition, business plans and cash and financial forecasts, and
periodically report to the Committee regarding the same;
b. review the Debtors' cash management, tax sharing and
intercompany accounting systems, practices and procedures;
c. review and investigate: (i) related party transactions,
including those between the Debtors and affiliates (including, but
not limited to, shared services expenses and tax allocations) and
(ii) selected other pre-petition transactions;
d. identify and review potential preference payments,
fraudulent conveyances and other causes of action that the various
Debtors estates may hold against third parties, including each
other;
e. analyze the Debtors' assets and claims, and assess
potential recoveries to the various creditor constituencies under
different scenarios;
f. evaluate the Debtors' proposed sale process and any related
bids and participate in any meetings with bidders or auction, as
required;
g. assist in the development and review of the Debtors' plan
of reorganization and disclosure statement;
h. review and evaluate court motions filed or to be filed by
the Debtors or any other parties-in-interest, as appropriate;
i. render expert testimony and litigation support services,
including e-discovery services, as requested from time to time by
the Committee and its counsel, regarding any of the matters to
which AlixPartners is providing services;
j. attend Committee meetings and court hearings as may be
required in the role of advisors to the Committee; and
k. assist with such other matters as may be requested that
fall within AlixPartners' expertise and that are mutually
agreeable.
AlixPartners will be paid at these hourly rates:
Managing Director $990 to $1,165
Director $775 to $945
Senior Vice President $615 to $725
Vice President $440 to $600
Consultant $160 to $435
Paraprofessional $285 to $305
AlixPartners will also be reimbursed for reasonable out-of-pocket
expenses incurred.
David MacGreevey, managing director of AlixPartners, assured the
Court that the firm is a "disinterested person" as the term is
defined in Section 101(14) of the Bankruptcy Code.
AlixPartners can be reached at:
David MacGreevey
ALIXPARTNERS, LLP
909 Third Avenue, Floor 30
New York, NY 10022
Tel: (212) 490-2500
Fax: (212) 490-2500
About EP Energy
EP Energy Corporation and its direct and indirect subsidiaries (OTC
Pink: EPEG) -- http://www.epenergy.com/-- are a North American oil
and natural gas exploration and production company headquartered in
Houston, Texas. The Debtors operate through a diverse base of
producing assets and are focused on the development of drilling
inventory located in three areas: the Eagle Ford shale in South
Texas, the Permian Basin in West Texas, and Northeastern Utah.
EP Energy Corporation and its subsidiaries sought Chapter 11
protection on Oct. 3, 2019, after reaching a deal with Elliott
Management Corporation, Apollo Global Management, LLC, and certain
other noteholders on a bankruptcy exit plan that would reduce debt
by 3.3 billion.
The lead case is In re EP Energy Corporation (Bankr. S.D. Tex. Lead
Case No. 19-35654).
EP Energy was estimated to have $1 billion to $10 billion in assets
and liabilities as of the bankruptcy filing.
The Hon. Marvin Isgur is the case judge.
The Debtors tapped Weil, Gotshal & Manges LLP as counsel; Evercore
Group L.L.C. as investment banker; and FTI Consulting, Inc., as
financial advisor. Prime Clerk LLC is the claims agent.
EP ENERGY: Committee Hires Pachulski Stang as Conflicts Counsel
---------------------------------------------------------------
The Official Committee of Unsecured Creditors of EP Energy
Corporation and its debtor affiliates seeks approval from the U.S.
Bankruptcy Court for the Southern District of Texas to retain
Pachulski Stang Ziehl & Jones LLP as its conflicts counsel.
Pachulski will render legal services in matters that may not be
handled by Stroock due to potential conflicts of interest,
specifically including matters involving JPMorgan Chase Bank, N.A.,
the Debtors' prepetition RBL Agent and proposed DIP Agent.
Pachulski's billing rates range as follows:
Partners $725 to $1,395
Counsel $650 to $1,095
Associates $575 to $695
Paraprofessionals $325 to $425
The principal attorneys presently designated to represent the
Committee and their current standard hourly rates are:
Robert J. Feinstein $1,145
Debra Grassgreen $1,050
Jeffrey N. Pomerantz $1,025
Maxim B. Litvak $925
The firm will also be reimbursed for work-related expenses
incurred.
Robert J. Feinstein, Esq., a partner at Pachulski Stang, disclosed
in court filings that the firm is a "disinterested person" within
the meaning of Section 101(14) of the Bankruptcy Code.
In accordance with Appendix B-Guidelines for reviewing fee
applications filed by attorneys in larger Chapter 11 cases, Mr.
Feinstein disclosed in court filings that his firm has not agreed
to a variation of its standard or customary billing arrangements,
and that no Pachulski professional has varied his rate based on the
geographic location of the Debtors' bankruptcy cases.
As committee counsel, Pachulski Stang anticipates that the budget
for committee professionals will be governed by the terms of the
order that may be entered approving the Debtors' motions for use of
cash collateral and debtor-in-possession financing, Mr. Feinstein
added.
Pachulski Stang can be reached through:
Robert J. Feinstein, Esq.
Bradford J. Sandler, Esq.
Steven W. Golden, Esq.
Pachulski Stang Ziehl & Jones LLP
780 Third Avenue, 34th Floor
New York, NY 10017
Telephone: (212) 561-7700
Facsimile: (212) 561-7777
About EP Energy
EP Energy Corporation and its direct and indirect subsidiaries (OTC
Pink: EPEG) -- http://www.epenergy.com/-- are a North American oil
and natural gas exploration and production company headquartered in
Houston, Texas. The Debtors operate through a diverse base of
producing assets and are focused on the development of drilling
inventory located in three areas: the Eagle Ford shale in South
Texas, the Permian Basin in West Texas, and Northeastern Utah.
EP Energy Corporation and its subsidiaries sought Chapter 11
protection on Oct. 3, 2019, after reaching a deal with Elliott
Management Corporation, Apollo Global Management, LLC, and certain
other noteholders on a bankruptcy exit plan that would reduce debt
by 3.3 billion.
The lead case is In re EP Energy Corporation (Bankr. S.D. Tex. Lead
Case No. 19-35654).
EP Energy was estimated to have $1 billion to $10 billion in assets
and liabilities as of the bankruptcy filing.
The Hon. Marvin Isgur is the case judge.
The Debtors tapped Weil, Gotshal & Manges LLP as counsel; Evercore
Group L.L.C. as investment banker; and FTI Consulting, Inc., as
financial advisor. Prime Clerk LLC is the claims agent.
EP ENERGY: Committee Seeks to Hire Polsinelli as Co-Counsel
-----------------------------------------------------------
The Official Committee of Unsecured Creditors of EP Energy
Corporation and its debtor affiliates seeks approval from the U.S.
Bankruptcy Court for the Southern District of Texas to retain
Polsinelli PC as its local co-counsel.
The Committee requires Polsinelli to:
a. provide legal advice on the powers and duties available to
the Committee, an official committee appointed under section 1102
of the Bankruptcy Code;
b. assist in the investigation of the acts, conduct, assets,
liabilities, and financial condition of the Debtors, the operation
of the Debtors’ business, and any other matter relevant to this
Case or a plan of reorganization or liquidation;
c. prepare on behalf of the Committee necessary applications,
motions, complaints, answers, orders, agreements, and other legal
papers, and appearing in Court to present necessary motions,
applications, and pleadings and to otherwise protect the interests
of the Committee;
d. review, analyze, and respond to all pleadings filed by the
Debtors or other parties-in-interest and appearing in Court to
present necessary motions, applications and pleadings and to
otherwise protect the interest of the Committee;
e. provide lien review and analysis;
f. consult with the Debtors and their professionals, other
parties-in-interest and their professionals, and the United States
Trustee concerning the administration of the Debtors' estates;
g. represent the Committee in hearings and other judicial
proceedings;
h. advise the Committee on practice and procedure before the
United States Bankruptcy Court for the Southern District of Texas
and regarding the Local Rules and local practice;
i. act as conflicts counsel in matters where Committee
co-counsel is unable to act; and
j. perform all other legal services for the Committee in
connection with this Case.
Polsinelli's current hourly rates generally range from $380 to
$1,050 for shareholders, from $290 to $560 for associates and
senior counsel, and from $165 to $375 for paraprofessionals.
The primary attorneys expected to represent the Committee, and
their current respective hourly rates are:
Trey A. Monsour (Shareholder) $745
Randye B. Soref (Shareholder) $885
Ryan Copeland (Shareholder) $525
Tanya Behnam (Associate) $425
Linda Miernik (Paralegal) $280
Trey A. Monsour, Esq., a shareholder of Polsinelli, attests that
his firm is a "disinterested person" as that term is defined in
Sec. 101(14) of the Bankruptcy Code.
In accordance with Appendix B-Guidelines for reviewing fee
applications filed by attorneys in larger Chapter 11 cases, Mr.
Monsour disclosed that his firm has not agreed to a variation of
its standard or customary billing arrangements for its employment
with the Debtors, and that no professional at the firm has varied
his rate based on the geographic location of the Debtors'
bankruptcy cases.
Mr. Ward also disclosed that Polsinelli did not represent the
client prepetition. The Committee and Polsinelli are in the
process of developing and sharing with the Committee a budget and
staffing plan for all the professionals sought to be retained by
the Committee to comply with the U.S. Trustee's requests for
information and additional disclosures, and any orders of this
Court.
The firm can be reached through:
Trey Monsour, Esq.
POLSINELLI PC
1000 Louisiana Street, Suite 6400
Houston, TX 77002
Tel: (713) 374-1643
E-mail: tmonsour@polsinelli.com
About EP Energy
EP Energy Corporation and its direct and indirect subsidiaries (OTC
Pink: EPEG) -- http://www.epenergy.com/-- are a North American oil
and natural gas exploration and production company headquartered in
Houston, Texas. The Debtors operate through a diverse base of
producing assets and are focused on the development of drilling
inventory located in three areas: the Eagle Ford shale in South
Texas, the Permian Basin in West Texas, and Northeastern Utah.
EP Energy Corporation and its subsidiaries sought Chapter 11
protection on Oct. 3, 2019, after reaching a deal with Elliott
Management Corporation, Apollo Global Management, LLC, and certain
other noteholders on a bankruptcy exit plan that would reduce debt
by 3.3 billion.
The lead case is In re EP Energy Corporation (Bankr. S.D. Tex. Lead
Case No. 19-35654).
EP Energy was estimated to have $1 billion to $10 billion in assets
and liabilities as of the bankruptcy filing.
The Hon. Marvin Isgur is the case judge.
The Debtors tapped Weil, Gotshal & Manges LLP as counsel; Evercore
Group L.L.C. as investment banker; and FTI Consulting, Inc., as
financial advisor. Prime Clerk LLC is the claims agent.
EP ENERGY: Committee Seeks to Hire Stroock & Stroock as Counsel
---------------------------------------------------------------
The official committee of unsecured creditors of EP Energy
Corporation seeks approval from the U.S. Bankruptcy Court for the
Southern District of Texas to hire Stroock & Stroock & Lavan LLP as
its legal counsel.
The firm will provide these services in connection with the Chapter
11 cases filed by EP Energy and its affiliates:
(a) advise the committee of its powers and duties under the
Bankruptcy Code
(b) assist the committee in its consultations, meetings and
negotiations with the Debtors, creditors and other parties;
(c) investigate the acts, conduct, assets, liabilities and
financial condition of the Debtors;
(d) assist the committee in connection with any proposed sale
of the Debtors' assets;
(e) analyze claims of creditors and the Debtors' capital
structure;
(f) negotiate with holders of claims;
(g) represent the committee in matters generally arising in
the Debtors' cases, including the Debtors' motion to incur
financing and other pleadings;
(h) review and negotiate any potential compromise or
settlement, and the assumption and rejection of executory contracts
and unexpired leases;
(i) assist the committee in connection with any Chapter 11
plan that may be filed;
(j) prepare pleadings and appear before the Office of the U.S.
Trustee, the bankruptcy court and any other federal, state or
appellate court on behalf of the committee;
(k) take all necessary actions to protect and preserve the
interests of the committee and unsecured creditors; and
(l) respond to inquiries from individual creditors as to the
status of, and developments in, the Debtors' cases.
The firm's hourly rates are:
Partners $1,095 – $1,525
Associates/Special Counsel $495 – $1,050
Paraprofessionals $345 – $420
Stroock is "disinterested" within the meaning of Section 101(14) of
the Bankruptcy Code, according to court filings.
In accordance with Appendix B-Guidelines for reviewing fee
applications filed by attorneys in larger Chapter 11 cases,
Erez Gilad, Esq., a partner at Stroock, disclosed that the firm did
not agree to a variation of its standard or customary billing
arrangements for its employment with the Debtors, and that no
professional at the firm varied his rate based on the geographic
location of the Debtors' bankruptcy cases.
The attorney also disclosed that Stroock did not represent the
committee prior to the Debtors' bankruptcy filing, and that the
firm is currently developing a prospective budget and staffing plan
for the committee's review and approval
Stroock can be reached through:
Erez E. Gilad, Esq.
Stroock & Stroock & Lavan LLP
180 Maiden Lane
New York, NY 10038
Phone: 212-806-5881 / 212-806-5400
Fax: 212-806-6006
Email: egilad@stroock.com
About EP Energy
EP Energy Corporation and its direct and indirect subsidiaries (OTC
Pink: EPEG) -- http://www.epenergy.com/-- are a North American oil
and natural gas exploration and production company headquartered in
Houston. The Debtors operate through a diverse base of producing
assets and are focused on the development of drilling inventory
located in three areas: the Eagle Ford shale in South Texas, the
Permian Basin in West Texas, and Northeastern Utah.
EP Energy Corporation and its subsidiaries sought Chapter 11
protection on Oct. 3, 2019, after reaching a deal with Elliott
Management Corporation, Apollo Global Management, LLC, and certain
other noteholders on a bankruptcy exit plan that would reduce debt
by 3.3 billion.
The lead case is In re EP Energy Corporation (Bankr. S.D. Tex. Lead
Case No. 19-35654).
EP Energy was estimated to have $1 billion to $10 billion in assets
and liabilities as of the bankruptcy filing.
The Hon. Marvin Isgur is the case judge.
The Debtors tapped Weil, Gotshal & Manges LLP as counsel; Evercore
Group L.L.C. as investment banker; and FTI Consulting, Inc., as
financial advisor. Prime Clerk LLC is the claims agent.
The Office of the U.S. Trustee appointed creditors to serve on an
official committee of unsecured creditors on Oct. 21, 2019.
EP ENERGY: Committee Taps Jefferies as Investment Banker
--------------------------------------------------------
The Official Committee of Unsecured Creditors of EP Energy
Corporation and its debtor affiliates seeks approval from the U.S.
Bankruptcy Court for the Southern District of Texas to retain
Jefferies LLC as its investment banker, nunc pro tunc to Oct. 25,
2019.
The Committee requires Jefferies to:
(a) advise the Committee on any potential or and/or actual M&A
Transactions;
(b) assist and advise the Committee in examining, analyzing,
reviewing and/or developing any potential or proposed
Restructuring;
(c) assist and advise the Committee in evaluating and
analyzing any DIP and/or exit financing for the Debtors as well as
other potential financing alternatives;
(d) analyze the business plan and cash flow forecasts of the
Debtors, and provide a valuation analysis of the Debtors;
(e) advise the Committee on any capital structure, debt
capacity and feasibility issues in connection with any
Transaction;
(f) assist and advise the Committee in analyzing historical
M&A and financing transactions in connection with any fraudulent
transfer analyses performed by the Committee;
(g) assist and advise the Committee in evaluating and
negotiating any restructuring and/or settlement proposals and
alternatives and evaluating the impact on unsecured recoveries;
(h) assist the Committee in the evaluation of historical and
projected financial information;
(i) advise the Committee on the current state of the
restructuring and capital markets;
(j) provide valuation analyses and testimony, as necessary and
appropriate, with respect to matters on which Jefferies has been
engaged to advise the Committee, in these chapter 11 cases; and
(k) provide such other investment banking services as may from
time to time be agreed upon by the Committee and Jefferies,
including, other expert and investment banking and financial
advisory support related to any threatened,
expected, or initiated litigation.
Jefferies will be compensated as follows:
-- Monthly Fee. A Monthly Fee equal to $175,000 per month until
the expiration or termination of the Engagement Letter. The first
Monthly Fee shall be payable immediately upon Bankruptcy Court
approval of this Application (with, for the avoidance of doubt, the
Monthly Fees being deemed to have accrued beginning on the date of
the Engagement Letter), and each subsequent Monthly Fee shall be
payable in advance on the 25th day of each month thereafter during
the term of the Engagement Letter.
-- Transaction Fee. Upon the consummation (including, without
limitation, the effective date of a plan of reorganization in these
cases) of a Transaction, a Transaction Fee equal to $3,500,000.
Commencing with the fifth full Monthly Fee actually paid to
Jefferies under the Engagement Letter, an amount equal to 50% of
the Monthly Fees actually paid to Jefferies will be credited
against any Transaction Fee.
Leon Szlezinger, managing director of Jefferies, assures the court
that the firm is a "disinterested person" as that term is defined
in Section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Leon Szlezinger
Jefferies LLC
520 Madison Avenue
New York, NY 10022
Phone: 212 284 2300
About EP Energy
EP Energy Corporation and its direct and indirect subsidiaries (OTC
Pink: EPEG) -- http://www.epenergy.com/-- are a North American oil
and natural gas exploration and production company headquartered in
Houston, Texas. The Debtors operate through a diverse base of
producing assets and are focused on the development of drilling
inventory located in three areas: the Eagle Ford shale in South
Texas, the Permian Basin in West Texas, and Northeastern Utah.
EP Energy Corporation and its subsidiaries sought Chapter 11
protection on Oct. 3, 2019, after reaching a deal with Elliott
Management Corporation, Apollo Global Management, LLC, and certain
other noteholders on a bankruptcy exit plan that would reduce debt
by 3.3 billion.
The lead case is In re EP Energy Corporation (Bankr. S.D. Tex. Lead
Case No. 19-35654).
EP Energy was estimated to have $1 billion to $10 billion in assets
and liabilities as of the bankruptcy filing.
The Hon. Marvin Isgur is the case judge.
The Debtors tapped Weil, Gotshal & Manges LLP as counsel; Evercore
Group L.L.C. as investment banker; and FTI Consulting, Inc., as
financial advisor. Prime Clerk LLC is the claims agent.
ESTEP CONSTRUCTION: Court Conditionally OKs Disclosure Statement
----------------------------------------------------------------
Judge Cynthia C. Jackson of the U.S. Bankruptcy Court for the
Middle District of Florida, Orlando Division, conditionally
approved the disclosure statement explaining the Plan of
Reorganization of Estep Construction.
The Court will convene a combined Disclosure and Confirmation
Hearing. An evidentiary hearing will be held on January 9, 2020, at
02:00 PM in Courtroom 6D, 6th Floor, George C. Young Courthouse,
400 West Washington Street, Orlando, FL 32801 to consider and rule
on the disclosure statement and any objections or modifications and
to conduct a confirmation hearing.
Creditors and other parties in interest must file with the clerk
their written acceptances or rejections of the plan (ballots) no
later than seven days before the date of the Confirmation Hearing.
Any party desiring to object to the disclosure statement or to
confirmation shall file its objection no later than seven days
before the date of the Confirmation Hearing. The objecting party
shall serve a copy of the objection at the same time it is filed on
the debtor, counsel for the debtor, the trustee (if any), counsel
for each official committee (if any), and the United States
Trustee.
A full-text copy of the Order is available at
https://tinyurl.com/sj5ovsf from PacerMonitor.com at no charge.
About Estep Construction
Estep Construction, Inc., is a family construction business formed
in September of 1995 by Jeffrey R. Estep and Elbert D. Estep. It
primarily handles contract work for various state and local
agencies. At one point, it had more than 53 employees but has had
to pare down that number in recent years and currently employs 10
people.
Estep Construction sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. M.D. Fla. Case No. 19-03112) on May 10,
2019. At the time of the filing, the Debtor had estimated assets of
less than $50,000 and liabilities of between $1 million and $10
million. The case is assigned to Judge Cynthia C. Jackson. The Bill
Porter Law Firm is the Debtor's bankruptcy counsel.
ETHEMA HEALTH: Reports $353,000 Net Loss for Quarter Ended Sept. 30
-------------------------------------------------------------------
Ethema Health Corporation filed its quarterly report on Form 10-Q,
disclosing a net loss of $353,230 on $148,042 of revenues for the
three months ended Sept. 30, 2019, compared to a net loss of
$2,394,143 on $270,370 of revenues for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $23,468,552,
total liabilities of $33,428,643, and $9,960,091 in total
stockholders' deficit.
As at September 30, 2019 the Company has a working capital
deficiency of $13,826,678 and accumulated deficit of $35,642,106.
Ethema Health said, "Management believes that current available
resources will not be sufficient to fund the Company's planned
expenditures over the next 12 months. Accordingly, the Company
will be dependent upon the raising of additional capital through
placement of common shares, and/or debt financing in order to
implement its business plan, and generating sufficient revenue in
excess of costs. If the Company raises additional capital through
the issuance of equity securities or securities convertible into
equity, stockholders will experience dilution, and such securities
may have rights, preferences or privileges senior to those of the
holders of common stock or convertible senior notes. If the
Company raises additional funds by issuing debt, the Company may be
subject to limitations on its operations, through debt covenants or
other restrictions. If the Company obtains additional funds
through arrangements with collaborators or strategic partners, the
Company may be required to relinquish its rights to certain
geographical areas, or techniques that it might otherwise seek to
retain. There is no assurance that the Company will be successful
with future financing ventures, and the inability to secure such
financing may have a material adverse effect on the Company's
financial condition. These factors create substantial doubt about
the Company's ability to continue as a going concern."
A copy of the Form 10-Q is available at:
https://is.gd/l6zZmG
Ethema Health Corporation, through its wholly-owned subsidiary,
GreeneStone Clinic Muskoka Inc., provides medical services to
patients in a clinic located in the regional municipality of
Muskoka, Canada. It offers addiction and aftercare treatment, as
well as out-patient counseling, coaching, intervention,
psychological assessment, and other related services. The Company
was formerly known as GreeneStone Healthcare Corporation and
changed its name to Ethema Health Corporation in April 2017. Ethema
Health Corporation was incorporated in 1993 and is based in North
York, Canada.
GB SCIENCES: Incurs $2.9 Million Net Loss in Quarter Ended Sept. 30
-------------------------------------------------------------------
GB Sciences, Inc. filed with the Securities and Exchange Commission
its quarterly report on Form 10-Q reporting a net loss of $2.93
million on $1.17 million of sales revenue for the three months
ended Sept. 30, 2019, compared to a net loss of $10.03 million on
$717,229 of sales revenue for the three months ended Sept. 30,
2018.
For the six months ended Sept. 30, 2019, the Company reported a net
loss of $5.47 million on $2.08 million of sales revenue compared to
a net loss of $15.38 million on $2.03 million of sales revenue for
the same period in 2018.
As of Sept. 30, 2019, the Company had $29.84 million in total
assets, $15.52 million in total liabilities, and $14.31 million in
total equity.
GB Sciences said, "The Company will need additional capital to
implement its strategies. There is no assurance that it will be
able to raise the amount of capital needed for future growth plans.
Even if financing is available, it may not be on terms that are
acceptable. If unable to raise the necessary capital at the times
required, the Company may have to materially change the business
plan, including delaying implementation of aspects of the business
plan or curtailing or abandoning the business plan. The Company
represents a speculative investment and investors may lose all of
their investment. In order to be able to achieve the strategic
goals, the Company needs to further expand its business and
financing activities. Based upon the cash position, it is
necessary to raise additional capital by the end of the next
quarter in order to continue to fund current operations. These
factors raise substantial doubt about the ability to continue as a
going concern. The Company is pursuing several alternatives to
address this situation, including the raising of additional funding
through equity or debt financings. In order to finance existing
operations and pay current liabilities over the next twelve months,
the Company will need to raise additional capital. No assurance can
be given that the Company will be able to operate profitably on a
consistent basis, or at all, in the future."
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/Dlngl0
About GB Sciences
Las Vegas, Nevada-based GB Sciences, Inc., formerly Growblox
Sciences, Inc., is developing and utilizing state of the art
technologies in plant biology, cultivation and extraction
techniques, combined with biotechnology, and plans to produce
consistent and measurable medical-grade cannabis, cannabis
concentrates and cannabinoid therapies. The Company seeks to be an
innovative technology and solution company that converts the
cannabis plant into medicines, therapies and treatments for a
variety of ailments.
GB Sciences incurred net loss of $24.68 million for the 12 months
ended March 31, 2019, compared to a net loss of $23.15 million for
the 12 months ended March 31, 2018. As of June 30, 2019, the
Company had $30.46 million in total assets, $14.85 million in total
liabilities, and $15.61 million in total equity.
Soles, Heyn & Company, LLP, in West Palm Beach, Florida, the
Company's auditor since the year ended March 31, 2014, issued a
"going concern" qualification in its report dated July 15, 2019, on
the Company's consolidated financial statements for the year ended
March 31, 2019, citing that the Company had accumulated losses of
approximately $84.7 million, has generated limited revenue, and may
experience losses in the near term. These factors and the need for
additional financing in order for the Company to meet its business
plan, raise substantial doubt about its ability to continue as a
going concern.
GB SCIENCES: Shane Terry Resigns as Director
--------------------------------------------
The Board of Directors of GB Sciences, Inc. accepted the
resignation of Shane Terry as a member of the Board. Mr. Terry
stated that pressure from other commitments no longer allowed him
to serve. The Company wishes Mr. Terry the very best in his future
endeavors.
About GB Sciences
Las Vegas, Nevada-based GB Sciences, Inc., formerly Growblox
Sciences, Inc., is developing and utilizing state of the art
technologies in plant biology, cultivation and extraction
techniques, combined with biotechnology, and plans to produce
consistent and measurable medical-grade cannabis, cannabis
concentrates and cannabinoid therapies. The Company seeks to be an
innovative technology and solution company that converts the
cannabis plant into medicines, therapies and treatments for a
variety of ailments.
GB Sciences incurred net loss of $24.68 million for the 12 months
ended March 31, 2019, compared to a net loss of $23.15 million for
the 12 months ended March 31, 2018. As of Sept. 30, 2019, the
Company had $29.84 million in total assets, $15.52 million in total
liabilities, and $14.31 million in total equity.
Soles, Heyn & Company, LLP, in West Palm Beach, Florida, the
Company's auditor since the year ended March 31, 2014, issued a
"going concern" qualification in its report dated July 15, 2019, on
the Company's consolidated financial statements for the year ended
March 31, 2019, citing that the Company had accumulated losses of
approximately $84.7 million, has generated limited revenue, and may
experience losses in the near term. These factors and the need for
additional financing in order for the Company to meet its business
plan, raise substantial doubt about its ability to continue as a
going concern.
GENERATION ALPHA: Recurring Losses Raise Going Concern Doubt
------------------------------------------------------------
Generation Alpha, Inc. filed its quarterly report on Form 10-Q,
disclosing a net loss of $8,142 on $475,379 of sales for the three
months ended Sept. 30, 2019, compared to a net loss of $7,093,230
on $851,710 of sales for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $1,377,892,
total liabilities of $6,785,029, and $5,407,137 in total
shareholders' deficit.
During the nine months ended September 30, 2019, the Company
incurred a net loss of $2,243,791 and used cash in operations of
$856,643 and had a shareholders' deficit of $5,407,137 as of
September 30, 2019. These factors raise substantial doubt about
the Company's ability to continue as a going concern within one
year after the date of the financial statements being issued. The
ability of the Company to continue as a going concern is dependent
upon the Company's ability to raise additional funds and implement
its business plan.
In addition, the Company's independent registered public accounting
firm, in its report on the Company's December 31, 2018 financial
statements, has raised substantial doubt about the Company's
ability to continue as a going concern.
At September 30, 2019, the Company had cash on hand in the amount
of $66,217. Subsequent to September 30, 2019, the Company received
proceeds of $275,000 from the sale of a secured convertible note.
Management estimates that the current funds on hand will be
sufficient to continue operations through January 2020. The
continuation of the Company as a going concern is dependent upon
its ability to obtain necessary debt or equity financing to
continue operations until it begins generating positive cash flow.
No assurance can be given that any future financing will be
available or, if available, that it will be on terms that are
satisfactory to the Company. Even if the Company is able to obtain
additional financing, it may contain undue restrictions on its
operations, in the case of debt financing or cause substantial
dilution for the Company's stock holders, in case or equity
financing.
A copy of the Form 10-Q is available at:
https://is.gd/kah6m5
Generation Alpha, Inc. focuses on the research, design,
development, and manufacturing of indoor horticulture lighting and
related equipment in the United States and internationally. The
company offers digital ballasts; metal halide, and mercury vapor
and high-pressure sodium lamps; light emitting diode lighting
products that produce less heat; and reflectors in various sizes
for use with its digital ballasts and lamps, as well as plant
nutrients and fertilizers. The company markets its products
directly; and through distributors to hydroponic retailers, as well
as through direct contacts, online email advertising, social media,
trade magazine advertising, trade show promotions, and
cross-promotional offerings. The company was formerly known as
Solis Tek Inc. Generation Alpha, Inc. was incorporated in 2007 and
is headquartered in Carson, California.
GEX MANAGEMENT: Incurs $132K Net Loss for Quarter Ended Sept. 30
----------------------------------------------------------------
Gex Management, Inc. filed its quarterly report on Form 10-Q,
disclosing a net loss of $131,716 on $24,354 of total revenues for
the three months ended Sept. 30, 2019, compared to a net income of
$560,082 on $3,093,477 of total revenues for the same period in
2018.
At Sept. 30, 2019, the Company had total assets of $4,947,772,
total liabilities of $6,788,318, and $1,840,546 in total
shareholders' deficit.
Gex Management said, "To date, the Company has funded its
operations primarily through public and private offerings of common
stock, our line of credit, short- term discounted and convertible
notes payable. The Company has identified several potential
financing sources in order to raise the capital necessary to fund
operations through March 31, 2020.
"In addition to the aforementioned current sources of capital that
will provide additional short-term liquidity, the Company is
currently exploring various other alternatives including debt and
equity financing vehicles, strategic partnerships, government
programs that may be available to the Company, as well as trying to
generate additional sales and increase margins. However, at this
time the Company has no commitments to obtain any additional funds,
and there can be no assurance such funds will be available on
acceptable terms or at all. If the Company is unable to obtain
additional funding and improve its operations, the Company's
financial condition and results of operations may be materially
adversely affected and the Company may not be able to continue
operations, which raises substantial doubt about its ability to
continue as a going concern.
"Additionally, even if the Company raises sufficient capital
through additional equity or debt financing, strategic alternatives
or otherwise, there can be no assurances that the revenue or
capital infusion will be sufficient to enable it to develop its
business to a level where it will be profitable or generate
positive cash flow. If the Company raises additional funds through
the issuance of equity or convertible debt securities, the
percentage ownership of our stockholders could be significantly
diluted, and these newly issued securities may have rights,
preferences or privileges senior to those of existing stockholders.
If the Company incurs additional debt, a substantial portion of
its operating cash flow may be dedicated to the payment of
principal and interest on such indebtedness, thus limiting funds
available for business activities. The terms of any debt
securities issued could also impose significant restrictions on the
Company's operations. Broad market and industry factors may
seriously harm the market price of our common stock, regardless of
our operating performance, and may adversely impact our ability to
raise additional funds. Similarly, if the Company's common stock
is delisted from the public exchange markets, it may limit its
ability to raise additional funds."
A copy of the Form 10-Q is available at:
https://is.gd/equOID
Gex Management, Inc. provides business management, professional
employer organization, and staffing solutions for small to midsize
businesses. It primarily provides payroll processing, human
resources (HR), staffing and general business consulting services.
The company's payroll processing services include tax filling and
remittance, and quarterly payroll tax reporting; and staffing
services comprise interview vetting, background check, drug
screening, onboarding and termination guidance, and company
operation troubleshooting. Its HR services include performance
evaluation and discipline system, consulting on sensitive HR
issues, paperwork audit, employee handbook, benefit plan
administration, worker's compensation programs, and risk and
compliance services; and general business consulting services
comprise strategic planning, mission statement and values
discovery, goal sessions, and company operation troubleshooting GEX
Management, Inc. was founded in 2004 and is based in Dallas,
Texas.
GIGGLES N' HUGS: Has $168,000 Net Loss for Quarter Ended Sept. 29
-----------------------------------------------------------------
Giggles N' Hugs, Inc. filed its quarterly report on Form 10-Q,
disclosing a net loss of $168,487 on $554,225 of net sales for the
thirteen weeks ended Sept. 29, 2019, compared to a net loss of
$44,851 on $677,838 of net sales for the thirteen weeks ended Sept.
30, 2018
At Sept. 29, 2019, the Company had total assets of $1,185,356,
total liabilities of $3,454,689, and $2,269,333 in total
stockholders' deficit.
During the thirty-nine weeks ended September 29, 2019, the Company
incurred a net loss of $448,417, used cash in operations of
$62,918, and had a stockholders' deficit of $2,269,333 as of that
date. In addition, the note payable to the Company's landlord was
in default. The Company said that these factors raise substantial
doubt about its ability to continue as a going concern.
The ability of the Company to continue as a going concern is
dependent upon the Company's ability to raise additional funds and
implement its business plan. In addition, the Company's
independent registered public accounting firm in its report on the
December 30, 2018 financial statements has raised substantial doubt
about the Company's ability to continue as a going concern within
one year from the date that the financial statements are issued.
A copy of the Form 10-Q is available at:
https://is.gd/j4xPSw
Giggles N' Hugs, Inc. owns and operates kid-friendly restaurants
with play areas for children in 10 years and younger in California.
It owns and operates a restaurant in the Westfield Topanga shopping
center in Woodland Hills; and a restaurant in the Glendale Galleria
in Glendale, California. The company was formerly known as
Teacher's Pet, Inc. and changed its name to Giggles N' Hugs, Inc.
in August 2010. Giggles N' Hugs, Inc. was founded in 2004 and is
headquartered in Glendale, California.
GLOBAL HEALTHCARE: Accumulated Deficit Casts Going Concern Doubt
----------------------------------------------------------------
Global Healthcare REIT, Inc. filed its quarterly report on Form
10-Q, disclosing a net income attributable to common stockholders
of $176,582 on $1,989,103 of total revenue for the three months
ended Sept. 30, 2019, compared to a net loss attributable to common
stockholders of $426,488 on $885,013 of revenue for the same period
in 2018.
At Sept. 30, 2019, the Company had total assets of $40,262,511,
total liabilities of $38,873,391, and $1,389,120 in total equity.
For the nine months ended September 30, 2019, the Company had net
income of $172,892 and reported net cash provided by operations of
$755,111. During the years ended December 31, 2018 and December
31, 2017, the Company incurred net losses of $2,007,006 and
$3,001,618, respectively, and as of September 30, 2019 has an
accumulated deficit of $10,912,983.
The Company said that these circumstances raise substantial doubt
as to its ability to continue as a going concern. Its ability to
continue as a going concern is dependent upon its ability to
generate sufficient revenues and cash flows to operate profitably
and meet contractual obligations or raise additional capital
through debt financing or through sales of common stock.
A copy of the Form 10-Q is available at:
https://is.gd/R5BDOg
Global Healthcare REIT, Inc. was organized with the intent of
operating as a real estate investment trust (REIT) for the purpose
of investing in real estate and other assets related to the
healthcare industry. The Company's focus has partially shifted
toward owning and operating its real estate assets. Prior to the
Company changing its name to Global Healthcare REIT, Inc. on
September 30, 2013, the Company was known as Global Casinos, Inc.
Global Casinos, Inc. operated two gaming casinos which were
split-off and sold on September 30, 2013. Simultaneous with the
split-off and sale of the gaming operations, the Company acquired
West Paces Ferry Healthcare REIT, Inc. (WPF) in a transaction
accounted for as a reverse acquisition whereby WPF was deemed to be
the accounting acquirer. The Company is based in Niwot, Colorado.
GROM SOCIAL: Losses since Inception Cast Going Concern Doubt
------------------------------------------------------------
Grom Social Enterprises, Inc. disclosed in its Form 10-Q filing
with the U.S. Securities and Exchange Commission for the quarterly
period ended September 30, 2019, that it does not expect that
existing operational cash flow will be sufficient to fund presently
anticipated operations and has incurred significant operating
losses since inception and has a working capital deficit which
raises substantial doubt about the Company's ability to continue as
a going concern.
In its Form 10-Q, the Company disclosed a net loss of $879,308 on
$2,233,747 of sales for the three months ended Sept. 30, 2019,
compared to a net loss of $1,137,020 on $2,053,185 of sales for the
same period in 2018.
At Sept. 30, 2019, the Company had total assets of $19,217,748,
total liabilities of $13,325,447, and $5,892,301 in total
stockholders' equity.
Grom Social said, "The Company will need to raise additional funds
and is currently exploring alternative sources of financing.
Historically, the Company has raised capital through private
placements, convertible debentures and officer loans as an interim
measure to finance working capital needs and may continue to raise
additional capital through the sale of common stock or other
securities, and short-term loans. The Company will be required to
continue to so until its consolidated operations become profitable.
However, there can be no assurance that the Company will be
successful in raising sufficient capital when needed."
A copy of the Form 10-Q is available at:
https://is.gd/D1sftJ
Grom Social Enterprises, Inc., through its subsidiaries, operates
social media network designed for children in the United States. It
also produces animation films; and provides WebFiltering services
to schools and libraries. The company was formerly known as Grom
Holdings, Inc. Grom Social Enterprises, Inc. was founded in 2012
and is based in Boca Raton, Florida.
GROWLERU FRANCO: Seeks to Hire Weinman & Associates as Attorney
---------------------------------------------------------------
GrowlerU Franco LLC seeks authority from the US Bankruptcy Court
for the District of Colorado to hire Weinman & Associates, P.C. as
as its attorneys.
Weinman will represent the Debtor in the administration of the
estate, preparation of the statements and schedules, the Plan of
Reorganization and Disclosure Statement.
Weinman has received a $15,000.00 retainer from Debtor.
Weinman's customary hourly rates are:
Jeffrey A. Weinman, Esq. $495
William A. Richey, Paralegal $300
Lisa Barenberg, Paralegal $250
Weinman has no connection with Debtor, the creditors, the U.S.
Trustee or any employee of the U.S. Trustee, or any other party in
interest herein except that Jeffrey A. Weinman is a Chapter 7 panel
trustee, according to court filings.
The firm can be reached through:
Jeffrey A. Weinman, Esq.
WEINMAN & ASSOCIATES, P.C.
730 17th Street, Suite 240
Denver, CO 80202
Phone: (303) 572-1010
Fax: (303) 572-1011
Email: jweinmantrustee@outlook.com
About GrowlerU Franco LLC
GrowlerU Franco LLC, doing business as Growler USA, owns and
operates a chain of pubs. The Company offers alcoholic beverages
and dining services.
Based in Centennial, Colorado, GrowlerU Franco LLC filed a
Voluntary Petition for Relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Colo. Case no. 19-20102) on Nov. 22,
2019. Jeffrey Weinman, Esq. represents the Debtor as counsel.
HIGH SIERRA THEATRES: Seeks to Hire an Attorney
-----------------------------------------------
High Sierra Theatres, LLC, seeks approval from the US Bankruptcy
Court for the District of New Mexico to hire an attorney.
Michael K. Daniels, Esq. will assist the Debtor in reorganizing or
liquidating under Chapter 11.
Mr. Daniels will charge $250 per hour plus costs and gross receipts
tax for his services.
The Debtor in Possession desires to pay Mr. Daniels 100 percent of
his incurred costs, and 75 percent of his monthly accrued fees and
gross receipts tax each month, with the remaining 25 percent of
fees and tax to remain unpaid until a proper fee application is
submitted, noticed to all creditors and parties in interest with an
opportunity to object, and ultimately approved by this Court.
Mr. Daniels can be reached at:
Michael K. Daniels, Esq.
PO Box 1640
Albuquerque, NM 87103
Phone: (505) 246-9385
Fax: 246-9104 fax
About High Sierra Theatres, LLC,
Founded in 2012, High Sierra Theatres is an
owner/operator/management company that was formed by Thomas Becker
and Nick Sanchez. Both partners have extensive experience in the
motion picture exhibition industry, having over 65 years combined
experience.
High Sierra Theatres filed a voluntary Chapter 11 petition (Bankr.
D. N.M. Case No. 19-12680) on Nov. 22, 2019. At the time of filing,
the Debtor estimates $1,000,001-$10 million in both assets and
liabilities. Michael K. Daniels, Esq. represents the Debtor as
counsel.
INPIXON: Iliad Research Swaps $120,000 Note for Equity
------------------------------------------------------
On Dec. 2, 2019, Inpixon and Iliad Research and Trading, L.P., the
holder of that certain outstanding promissory note, issued on Dec.
21, 2018 (as amended), with an outstanding balance of $545,657 as
of Dec. 2, 2019, entered into an exchange agreement, pursuant to
which the Company and Iliad agreed to (i) partition a new
promissory note in the form of the Original Note in the original
principal amount equal to $120,000 and then cause the outstanding
balance to be reduced by $120,000; and (ii) exchange the
partitioned note for the delivery of 3,000,000 shares of the
Company's common stock, par value $0.001 per share, at an effective
price per share equal to $0.04. The shares of Common Stock will be
delivered to Iliad on or before Dec. 3, 2019 and the exchange will
occur with Iliad surrendering the partitioned note to the Company
on the date when the shares of Common Stock are approved and held
by Iliad's brokerage firm for public resale.
Iliad is also the holder of that certain promissory note, issued on
Sept. 17, 2019, with an outstanding balance of approximately
$963,000 as of Oct. 27, 2019. Chicago Venture Partners, L.P., an
affiliate of Iliad, is the holder of other promissory notes of the
Company, with an aggregate outstanding balance of approximately
$9.8 million as of Oct. 27, 2019. St. George Investments LLC, an
affiliate of Iliad, is also the holder of a promissory note of the
Company with an outstanding balance of approximately $952,500 as of
Nov. 26, 2019.
About Inpixon
Headquartered in Palo Alto, California, Inpixon is a technology
company that helps to secure, digitize and optimize any premises
with Indoor Positioning Analytics (IPA) for businesses and
governments in the connected world. Inpixon Indoor Positioning
Analytics is based on new sensor technology that finds all
accessible cellular, Wi-Fi, Bluetooth and RFID signals anonymously.
Paired with a high-performance, data analytics platform, this
technology delivers visibility, security and business intelligence
on any commercial or government premises worldwide. Inpixon's
products, infrastructure solutions and professional services group
help customers take advantage of mobile, big data, analytics and
the Internet of Things (IoT).
Inpixon reported a net loss of $24.56 million for the year ended
Dec. 31, 2018, compared to a net loss of $35.03 million for the
year ended Dec. 31, 2017. As of Sept. 30, 2019, the Company had
$30.49 million in total assets, $19 million in total liabilities,
and $11.48 million in total stockholders' equity.
Marcum LLP, in New York, the Company's auditor since 2012, issued a
"going concern" qualification in its report dated March 28, 2019,
on the Company's consolidated financial statements for the year
ended Dec. 31, 2018, citing that the Company has a significant
working capital deficiency, has incurred significant losses and
needs to raise additional funds to meet its obligations and sustain
its operations. These conditions raise substantial doubt about the
Company's ability to continue as a going concern.
INPIXON: Reports $6.6 Million Net Loss in Quarter Ended Sept. 30
----------------------------------------------------------------
Inpixon filed with the Securities and Exchange Commission its
quarterly report on Form 10-Q reporting a net loss of $6.58 million
on $1.53 million of revenues for the three months ended Sept. 30,
2019, compared to a net loss of $5.18 million on $940,000 of
revenues for the three months ended Sept. 30, 2018.
For the nine months ended Sept. 30, 2019, the Company reported a
net loss of $16.96 million on $4.39 million of revenues compared to
a net loss of $17.28 million on $2.63 million of revenues for the
nine months ended Sept. 30, 2018.
As of Sept. 30, 2019, the Company had $30.49 million in total
assets, $19 million in total liabilities, and $11.48 million in
total stockholders' equity.
Inpixon said, "Our condensed consolidated financial statements as
of September 30, 2019 have been prepared under the assumption that
we will continue as a going concern for the next twelve months from
the date the financial statements are issued. Management's plans
and assessment of the probability that such plans will mitigate and
alleviate any substantial doubt about the Company's ability to
continue as a going concern, is dependent upon the ability to
obtain additional equity or debt financing, attain further
operating efficiency, reduce expenditures, and, ultimately, to
generate sufficient levels of revenue, which together represent the
principal conditions that raise substantial doubt about our ability
to continue as a going concern. Our condensed consolidated
financial statements as of September 30, 2019 do not include any
adjustments that might result from the outcome of this
uncertainty."
Net cash used in operating activities during the nine months ended
Sept. 30, 2019 was $9.1 million. Net cash used in operating
activities during the nine months ended Sept. 30, 2018 was $23.5
million.
Net cash used in operating activities during the nine months ended
Sept. 30, 2018 was $23.5 million.
Net cash flows used in investing activities during the nine months
ended Sept. 30, 2019 was $4.9 million compared to net cash flows
used in investing activities during the nine months ended Sept. 30,
2018 of $1.2 million.
Net cash flows provided by financing activities during the nine
months ended Sept. 30, 2019 was $13.3 million.
A full-text copy of the Form 10-Q is available for free at:
https://is.gd/f1oxfw
About Inpixon
Headquartered in Palo Alto, California, Inpixon is a technology
company that helps to secure, digitize and optimize any premises
with Indoor Positioning Analytics (IPA) for businesses and
governments in the connected world. Inpixon Indoor Positioning
Analytics is based on new sensor technology that finds all
accessible cellular, Wi-Fi, Bluetooth and RFID signals anonymously.
Paired with a high-performance, data analytics platform, this
technology delivers visibility, security and business intelligence
on any commercial or government premises worldwide. Inpixon's
products, infrastructure solutions and professional services group
help customers take advantage of mobile, big data, analytics and
the Internet of Things (IoT).
Inpixon reported a net loss of $24.56 million for the year ended
Dec. 31, 2018, compared to a net loss of $35.03 million for the
year ended Dec. 31, 2017. As of June 30, 2019, the Company had
$23.88 million in total assets, $12.14 million in total
liabilities, and $11.74 million in total stockholders' equity.
Marcum LLP, in New York, the Company's auditor since 2012, issued a
"going concern" qualification in its report dated March 28, 2019,
on the Company's consolidated financial statements for the year
ended Dec. 31, 2018, citing that the Company has a significant
working capital deficiency, has incurred significant losses and
needs to raise additional funds to meet its obligations and sustain
its operations. These conditions raise substantial doubt about the
Company's ability to continue as a going concern.
IQSTEL INC: Lacks Significant Cash to Continue as Going Concern
---------------------------------------------------------------
iQSTEL Inc. filed its quarterly report on Form 10-Q, disclosing a
net loss of $3,517,171 on $4,172,547 of revenues for the three
months ended Sept. 30, 2019, compared to a net loss of $503,595 on
$3,794,359 of revenues for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $5,560,875,
total liabilities of $11,189,084, and $5,628,209 in total
stockholders' deficit.
The Company does not have significant cash, nor does it have an
established source of revenues sufficient to cover its operating
costs and to allow it to continue as a going concern. In addition,
as of September 30, 2019, the Company had an accumulated deficit of
$7,710,046, and a net loss of $5,026,990 and a net cash used in
operating activities of $1,331,051 for the nine months ended
September 30, 2019. These factors, among others, raise substantial
doubt about the Company's ability to continue as a going concern
for a period of one year from the issuance of these financial
statements.
A copy of the Form 10-Q is available at:
https://is.gd/988xjL
iQSTEL Inc., through its subsidiary, Etelix.com USA, LLC, operates
as a technology company worldwide. The company provides
international long-distance voice services (ILD wholesale) for
telecommunications operator; and submarine fiber optic network
capacity for data carriers and Internet service providers,
including land-based and mobile services, such as 4G and 5G. It
offers its services through approximately 200 interconnections with
telecommunication carriers, PSTNs, PTTs, mobile operators, mobile
virtual network operators, long distance operators, and long
distance wholesale carriers. The company also provides
network-monitoring services through two network operation centers
located in the United States and Europe. iQSTEL Inc. is based in
Coral Gables, Florida.
JCV GROUP: Seeks to Hire Medina Law as Attorney
-----------------------------------------------
JCV Group LLC seeks authority from the United States Bankruptcy
Court for the Southern District of New York (Manhattan) to hire
Medina Law LLC as its attorneys.
JCV Group requires Medina Law to:
(a) take all necessary action to protect and preserve the
Debtor's estate, including the prosecution of actions on the
Debtor's behalf, the defense of any actions commenced against the
Debtor, the negotiation of disputes in which the Debtor is involved
and the preparation of objections to claims filed against the
Debtor's estate;
(b) prepare on behalf of the Debtor, as debtor-in-possession,
all necessary motions, applications, answers, orders, reports, and
other papers in connection with the administration of the Debtor's
estate;
(c) negotiate and prepare on behalf of the Debtor a plan of
reorganization and all related documents; and
(d) perform all other necessary legal services in connection
with the prosecution of this chapter 11 case.
Medina Law received retainer payments totaling $38,730.00, of which
$23,209.24 was exhausted prior to the commencement of the Debtor's
bankruptcy case.
Eric S. Medina, Esq. disclosed in court filings that he and his
firm do not represent any interest adverse to the Debtor and its
bankruptcy estate.
The firm can be reached through:
Eric S. Medina, Esq.
MEDINA LAW FIRM LLC
641 Lexington Avenue
Thirteenth Floor
New York, NY 10174
Tel. (212) 404-1742
Fax (888) 833-9534
Email: emedina@medinafirm.com
About JCV Group LLC
JCV Group LLC -- http://jcvbrands.com-- is a wholesale domestic,
baby and pet company established and based in New York.
JCV Group LLC filed a voluntary petition for relief under chapter
11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 19-13563) on
Nov 06, 2019. In the petition signed by David Maleh, chief
executive officer, the Debtor estimates $1 million to $10 million
in both assets and liabilities. Eric S. Medina, Esq. at MEDINA LAW
FIRM LLC is the Debtor's counsel.
KAYA HOLDINGS: Working Capital Deficit Raise Going Concern Doubt
----------------------------------------------------------------
Kaya Holdings, Inc. filed its quarterly report on Form 10-Q,
disclosing a net income of $726,324 on $208,843 of net sales for
the three months ended Sept. 30, 2019, compared to a net income of
$516,565 on $303,888 of net sales for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $2,709,016,
total liabilities of $17,267,625, and $14,558,609 in net
stockholders' deficit.
The Company incurred a net income of $8,929,178 for the nine months
ended September 30, 2019 and a net income of $11,830,652 for the
nine months ended September 30, 2018. The decrease in net income
is due to the changes in derivative liabilities and the company
continues to have operating losses.
At September 30, 2019 the Company has a working capital deficiency
of $11,287,421 and is totally dependent on its ability to raise
capital. The Company has a plan of operations and acknowledges
that its plan of operations may not result in generating positive
working capital in the near future. Even though management
believes that it will be able to successfully execute its business
plan, which includes third-party financing and capital issuance,
and meet the Company's future liquidity needs, there can be no
assurances in that regard. These matters raise substantial doubt
about the Company's ability to continue as a going concern. The
consolidated financial statements do not include any adjustments
that might result from the outcome of this material uncertainty.
Management recognizes that the Company must generate additional
funds to successfully develop its operations and activities.
A copy of the Form 10-Q is available at:
https://is.gd/J0wjla
Kaya Holdings, Inc., through its subsidiary, Marijuana Holdings
Americas, Inc., engages in the legal recreational and medical
marijuana business in the United States. The Company is involved
in growing, cultivation, harvesting, and manufacturing medical
marijuana. The Company was formerly known as Alternative Fuels
America, Inc. and changed its name to Kaya Holdings, Inc. in April
2015. Kaya Holdings, Inc. was incorporated in 1993 and is
headquartered in Fort Lauderdale, Florida.
KLINE CONSTRUCTION: Exclusivity Period Extended Until April 10
--------------------------------------------------------------
Judge Jerrold Poslusny Jr. of the U.S. Bankruptcy Court for the
District of New Jersey extended the period during which only Kline
Construction Co., Inc. can file a Chapter 11 plan of reorganization
to April 10, 2020.
The company can solicit acceptances for the plan until June 9,
2020.
About Kline Construction
Founded in 1945, Kline Construction Co. --
http://www.klineconstruction.net/-- is a utility support
contractor in New Jersey with six locations throughout the United
States.
Kline Construction filed a chapter 11 petition (Bankr. D.N.J. Case
No. 19-25757) on August 14, 2019. The petition was signed by
Ronald Samarro, chief restructuring officer. The Debtor was
estimated to have $500,000 to $1 million in assets and $10 million
to $50 million in liabilities as of the bankruptcy filing. The Hon.
Jerrold N. Poslusny Jr. oversees the case. The Debtor tapped Fox
Rothschild LLP as counsel.
LONGHORN JUNCTION: Romspen to Get $3.2MM in Quarterly Payments
--------------------------------------------------------------
Debtors Longhorn Junction Land and Cattle Company, LLC and SC
Williams, LLC filed with the U.S. Bankruptcy Court for the Western
District of Texas, Austin Division, a joint disclosure statement.
Romspen is the Holder of a Claim against both SC Williams and
Longhorn Junction which it alleges is in the amount of
$24,119,915.54 as of September 12, 2019. Debtors will be pay
Romspen $3,200,000 minimum quarterly payments. Under the Plan,
Romspen will be enjoined from pursuing Lookout Ridge, LLC on its
indebtedness to Romspen existing before the Effective Date of the
Plan and from pursuing Gregory Hall on his indebtedness under his
existing guaranty in the absence of an Event of Default under the
Renewed and Restated Loan Agreement and Promissory Note.
The amount of unsecured claims against Longhorn Junction exceeds
$32,500. Each of holder of an Allowed Claim in Class 8 Claims will
be paid in full with 5% interest accruing from sales of the
Longhorn Junction Property after Romspen has been paid in full and
from sales of Sun City Property after the holder of Allowed Claims
against SC Williams have been paid but, in no event, in more than
24 months from the Effective Date of the Plan.
Each of holder of an Allowed Claim in Class 9 Claims will be paid
in full with 5% interest accruing from sales of the Sun City
Property after Romspen has been paid in full and from sales of
Longhorn Junction Property after the holder of Allowed Claims
against Longhorn Junction have been paid but, in no event, in more
than 24 months from the Effective Date of the Plan.
The equity interest holder in both Debtors, Gregory Hall, will
retain his Interest.
Under the Plan, Longhorn Junction will implement a sales strategy
to sell its tracts of property under a Managed Qualifying Bid
Program to be led by Hilco an international firm which specializes
in running such programs, to lead the Managed Qualifying Bid
Program.
The Plan requires Debtors to make quarterly payments to Romspen.
The Debtors’ ability to pay Romspen depends on the ability of the
Debtors to sell Tracts on at prices sufficient to make the payments
to Romspen. Based upon the fair market valuations of the property
and Debtor’s substantial equity in the Property, Debtors are
confident that the Qualified Bidding Program s will attract bids
sufficient for Debtors to timely make the payments to Romspen.
A full-text copy of the joint disclosure statement dated November
21, 2019, is available at https://tinyurl.com/rfh8cdq from
PacerMonitor.com at no charge.
About Longhorn Junction and
SC Williams
S.C. Williams, LLC, owns approximately 4.2 acres of land at 5331
Williams Drive at the entrance to the Sun City senior living
development in the City of Georgetown, Williamson County, Texas.
Longhorn Junction Land and Cattle Company, LLC owns approximately
229.16 acres on the southeast intersection of SE Inner Loop an
Interstate 35 (with additional acreage along Blue Springs Blvd and
FM 1460) in City of Georgetown Williamson County, Texas. The
properties are non-income producing properties and so SC Williams
and Longhorn's income is generated from sales of parcels of their
properties. The managing member of both entities is Gregory Hall.
Longhorn Junction and SC Williams sought protection under Chapter
11 of the Bankruptcy Code (Bankr. W.D. Tex. Lead Case No. 19-10883)
on July 2, 2019. At the time of the filing, Longhorn Junction
estimated assets of between $10 million and $50 million and
liabilities of the same range. SC Williams estimated assets of
between $10 million and $50 million and liabilities of between $1
million and $10 million. The cases are assigned to Judge Tony M.
Davis. The Debtors are represented by Hajjar Peters, LLP.
LONGHORN PAVING: Exclusivity Period Extended Until Feb. 4
---------------------------------------------------------
Judge Eduardo Rodriguez of the U.S. Bankruptcy Court for the
Southern District of Texas extended the period during which only
Longhorn Paving & Oilfield Services, Inc. can file a Chapter 11
plan to Feb. 4, 2020.
The bankruptcy judge also set a Feb. 4 deadline for the company to
file its disclosure statement and plan.
About Longhorn Paving & Oilfield
Longhorn Paving & Oilfield Services, Inc. --
http://www.longhornpavingandoilfield.com/-- is a family-owned
contractor in Edinburg, Texas that provides services to commercial,
residential, site construction, utilities, asphalt and concrete
paving clients. In addition, the Company provides site construction
for oilfield pad sites, and services to drilling, completion , and
production companies. The Company's main yard is located in
Edinburg and it has an additional yard located in the Eagle Ford
and West Texas.
Longhorn Paving & Oilfield Services sought Chapter 11 protection
(Bankr. S.D. Tex. Case No. 19-70233) on June 10, 2019. In the
petition signed by Melissa Awbrey, vice president, the Debtor
disclosed $3,733,262 in assets and $3,131,973 in liabilities. The
Hon. Eduardo V. Rodriguez oversees the case. The Debtor hired
Villeda Law Group as counsel.
MAD DOGG ATHLETICS: Exclusivity Period Extended to Jan. 7
---------------------------------------------------------
Judge Julia Brand of the U.S. Bankruptcy Court for the Central
District of California extended the period during which only Mad
Dogg Athletics, Inc. can file a Chapter 11 plan to Jan. 7, 2020.
The company can solicit acceptances for the plan until March 7,
2020.
About Mad Dogg Athletics, Inc.
Mad Dogg Athletics, Inc. -- https://www.maddogg.com/ -- offers a
comprehensive portfolio of fitness equipment, programming, and
education. The company manufactures home Spinner bikes, Pilates and
functional training equipment, and a complete line of
Spinning-branded apparel and accessories. With its business founded
in 1994 in Los Angeles, California, Mad Dogg operates from its
corporate headquarters in Venice, California.
Mad Dogg Athletics sought Chapter 11 protection (Bankr. C.D. Cal.
Case No. 19-18730) on July 26, 2019. In the petition signed by CEO
John R. Baudhuin, the Debtor was estimated to have $1 million to
$10 million in assets and $10 million to $50 million in
liabilities. The case is assigned to Judge Julia W. Brand. David S.
Kupetz, Esq., at SULMEYER KUPETZ, serves as the Debtor's counsel.
Ardent Law Group, P.C., as special litigation counsel.
MANHATTAN SCIENTIFICS: Cummulative Losses Raise Going Concern Doubt
-------------------------------------------------------------------
Manhattan Scientifics, Inc. filed its quarterly report on Form
10-Q, disclosing a net income of $1,229,000 on $22,000 of revenue
for the three months ended Sept. 30, 2019, compared to a net income
of $324,000 on $0 of revenue for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $3,175,000,
total liabilities of $2,015,000, and $102,000 in total
stockholders' equity.
Manhattan Scientifics said, "As of September 30, 2019, the Company
has cumulative losses totaling $68,088,000 and negative working
capital of $1,565,000. The Company incurred a net loss of $115,000
for the nine months ended September 30, 2019. These conditions
raise substantial doubt about the Company's ability to continue as
a going concern. Because of these conditions, the Company will
require additional working capital to develop business operations.
Management's plans are to raise additional working capital through
the continued licensing of its technology as well as to generate
revenues for other services. There are no assurances that the
Company will be able to achieve the level of revenues adequate to
generate sufficient cash flow from operations to support the
Company's working capital requirements. To the extent that funds
generated are insufficient, the Company will have to raise
additional working capital. No assurance can be given that
additional financing will be available, or if available, will be on
terms acceptable to the Company. If adequate working capital is
not available, the Company may not continue its operations."
A copy of the Form 10-Q is available at:
https://is.gd/MHkQtP
Manhattan Scientifics, Inc., a technology incubator, develops and
commercializes life-enhancing technologies in the United States. It
develops technologies in the areas of nano-technologies and
nano-medicine. The company was formerly known as Grand Enterprises,
Inc. Manhattan Scientifics, Inc. was founded in 1992 and is based
in New York, New York.
MAOZ 8TH AVENUE: Court Confirms Plan of Reorganization
------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
entered an order confirming the Second Amended Plan of
Reorganization dated November 30, 2018 of Debtor Maoz 8th Avenue
LLC, d/b/a Maoz Falafel & Grill.
About Maoz 8th Avenue
Maoz 8th Avenue LLC sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. S.D.N.Y. Case No. 17-13327) on Nov. 27,
2017. In the petition signed by Jimmy Shabtay, general manager, the
Debtor estimated assets and liabilities of less than $500,000.
Judge Sean H. Lane presides over the case. Sichenzia Ross Ference
Kesner LLP serves as counsel to the Debtor.
MARKET STREET: Court Confirms Plan of Reorganization
----------------------------------------------------
Judge Maria Oxholm of the U.S. Bankruptcy Court for the Eastern
District of Michigan has confirmed the Plan of Reorganization and
Disclosure Statement of Market Street Development, Inc.
The Plan divides Claims and Interests into classes and treats them
as follows, all of which are impaired unless noted:
* Macomb County shall have 2 secured claims. The first secured
claim is in the amount of $82,132.24, which shall be paid over 60
monthly installments at 18% interest until paid in full, and the
second secured claim is in the amount of $60,015.19, which shall be
paid over 60 monthly installments at 12% interest until paid in
full. The members of this class shall retain their lien until the
claims making up this class are paid in full.
* This class, with respect to GT Capital’s secured claim in the
amount of $1,700,000 plus any post-petition fees shall be paid
interest only payments at approximately $9,860.00 at 6.96% interest
with a balloon payment due in 18 months. The members of this class
shall retain their lien until the claims making up this class are
paid in full.
* Class of general unsecured claims. This class is made up of
approximately $60,000 in claims. These claims shall be paid at 3%
in 60 equal monthly installments without interest, commencing on
the Effective Date. Monthly payments shall be paid
contemporaneously with Class 1.
The Debtor shall file the required monthly Operating report for
September on or before November 18, 2019. The Debtor shall timely
file monthly Post-Confirmation Disbursement Reports and shall
continue to pay quarterly fees pursuant to 28 U.S.C. § 1930(a)
until these cases have been closed by the Court or dismissed or
converted to a Chapter 7 case.
Angela Tinervia and Vincent DiLorenzo reaffirm their guarantees.
A full-text copy of the Order is available at
https://tinyurl.com/uzj837y from PacerMonitor.com at no charge.
About Market Street Development
Based in Shelby Township, Mich., Market Street Development, Inc., a
Single Asset Real Estate Debtor (as defined in 11 U.S.C. Section
101(51B)), filed a voluntary Chapter 11 petition (Bankr. E.D. Mich.
Case No. 19-45966) on April 18, 2019. The petition was signed by
Vincent DiLorenzo, principal.
At the time of filing, the Debtor had estimated assets and
estimated debts of $1 million to $10 million.
The case is assigned to Hon. Maria L. Oxholm. The Debtor's counsel
is Robert N. Bassel, Esq., in Clinton, Mich.
MEDICAL SIMULATION: Seeks to Hire Shapiro Bieging as Legal Counsel
------------------------------------------------------------------
Medical Simulation Corporation seeks authority from the US
Bankruptcy Court for the District of Colorado to hire Shapiro
Bieging Barber Otteson LLP as its counsel.
Legal services to be rendered Shapiro include:
a. preparing the Statement of Financial Affairs and associated
Schedules (and amendments thereto, if any), pleadings and
applications and conducting examinations incidental to any related
proceedings and/or to the administration of this case and estate;
b. determining the relationship of Debtor and the claims of
creditors in this case, equity interest holders and other parties
in interest, and filing, prosecuting and, where appropriate,
settlement, claims objections and related matters;
c. advising Debtor regarding its rights, duties, and
obligations as Debtor operating under Chapter 11 of the Bankruptcy
Code;
d. assisting Debtor in maximizing the value of the estate for
the benefit of creditors, owners and other parties in interest as
their respective interests may justify;
e. advising and assisting the Debtor in the formation and
preservation of a plan pursuant to Chapter 11 of the Bankruptcy
Code, the disclosure statement, and any and all matters related
thereto;
f. representing Debtor in contested matters, adversary
proceedings and other litigation; and
g. taking any and all other necessary action and providing
such other services incident to the proper preservation and
administration of this Chapter 11 case.
Duncan Barber, Esq., a partner at Shapiro and the attorney who will
be handling the case, charges an hourly fee of $400. The hourly
rates for other attorneys range from $250 to $450. The rates for
paralegal services range from $160 to $185 per hour.
Prior to the Petition Date, Shapiro has been paid $291,896.50 in
fees and $8,129.62 in reimbursable expenses for a total of
$300,026.12.
Mr. Barber attests that he and his firm are "disinterested persons"
as that term is defined in Sec. 101(14) of the Bankruptcy Code.
The firm can be reached through:
Duncan E. Barber, Esq.
Shapiro Bieging Barber Otteson LLP
7979 East Tufts Avenue, Suite 1600
Denver, CO 80237
Telephone: 720-488-5432
Telecopy: 720-488-7711
Email: dbarber@sbbolaw.com
About Medical Simulation Corporation
Medical Simulation Corporation provides medical training services.
Based in Denver, Colorado, Medical Simulation Corporation filed a
voluntary petition for relief under Chapter 11 of the Bankruptcy
Code (Bankr. D. Colo. Case No. 20101) on Nov. 19, 2019. At the time
of filing, the Debtor estimates $10,000,001-$50 million in assets
and $1,000,001-$10 million in liabilities. Duncan E. Barber, Esq.
at Shapiro Bieging Barber Otteson LLP represents the Debtor as
counsel.
MEDIQUIP INC: Seeks to Hire Prager Metis as Accountant
------------------------------------------------------
Mediquip, Inc. seeks approval from the U.S. Bankruptcy Court for
the Eastern District Of New York to hire Prager Metis CPA's, LLC as
its accountant to help the Debtor prepare and file various tax
returns and filings including sales tax, highway use tax and
corporate tax returns.
The CPA holds no interest adverse to the Debtor's estate and that
the Firm is a disinterested party as this term is defined in the
Bankruptcy Code.
The CPA's customary hourly rate is $250.00-$500.00, plus
reimbursement of all reasonable and necessary out of pocket
expenses.
Sonia Carrero, CEO of Mediquip, Inc., provided the accountant with
$15,000 as retainer.
The CPA holds no interest adverse to the Debtor's estate and that
the Firm is a disinterested party as this term is defined in the
Bankruptcy Code, according to court filings.
The CPA can be reached through:
Stuart H. Mayer
Prager Metis CPA's, LLC
14 Penn Plaza, Suite 1800
New York, NY 10122
Tel: 212-643-0099
Fax: 212-496-7502
Email: smayer@pragermetis.com
About Mediquip Inc.
Based in Bethpage, N.Y., Mediquip Inc. provides medical supplies
and equipment which are considered as Medicare chargeable items.
Mediquip filed a voluntary petition under Chapter 11 of the
Bankruptcy Code (Bankr. E.D.N.Y. Case No. 19-77310) on Oct. 24,
2019. At the time of the filing, the Debtor had estimated assets
of between $100,001 and $500,000 and liabilities of between
$500,001 and $1 million.
Heath S. Berger, Esq., at Berger, Fischoff, Shumer, Wexler,
Goodman, LLP, is the Debtor's legal counsel.
MICHAEL'S GOURMET: Seeks to Hire Van Horn Law as Attorney
---------------------------------------------------------
Michael's Gourmet Coffee's, Inc. seeks approval from the US
Bankruptcy Court for the Southern District of Florida to hire Chad
T. Van Horn, Esq. and Van Horn Law Group Inc. as its attorneys.
The professional services Van Horn Law will render are:
a) give advice to the Debtor with respect to its powers and
duties as a debtor in possession and the continued management of
its business operations;
b) advise the Debtor with respect to its responsibilities in
complying with the U.S. Trustee's Operating Guidelines and
Reporting Requirements and with the rules of the court;
c) prepare motions, pleadings, orders, applications, adversary
proceedings, and other legal documents necessary in the
administration of the case;
d) protect the interest of the Debtor in all matters pending
before the court;
e) represent the Debtor in negotiation with its creditors in
the preparation of a plan.
Van Horn Law Group will undertake this engagement on an hourly
basis at these rates:
Chad Van Horn, Esq. $450
Associates $350
Jay Molluso $250
Law Clerks $175
Paralegals $175
Chad Van Horn, Esq., attests neither the professionals nor the law
firm has any connection with the creditors or other
parties-in-interest or their respective attorneys. Neither the
attorney nor the law firm represent any interest adverse to the
Debtor.
Van Horn Law can be reached at:
Chad T. Van Horn, Esq.
VAN HORN LAW GROUP, INC.
330 N. Andrews Ave., Suite 450
Fort Lauderdale, FL 33301
Tel: (954) 765-3166
E-mail: Chad@cvhlawgroup.com
About Michael's Gourmet Coffee's, Inc.
Based in Pompano Beach, Florida, Michael's Gourmet Coffee's, Inc.
sought Chapter 11 protection (Bankr. S.D. Fla. Case
No. 19-25705) on Nov 21, 2019, listing under $1 million in both
assets and liabilities. Chad T. Van Horn, Esq. represents the
Debtor as counsel.
MIRAGE DENTAL: Creditors to Get Paid from Future Income
-------------------------------------------------------
Debtor Mirage Dental Associates, Professional L.L.C. filed with the
Bankruptcy Court its Redlined Third Amended Chapter 11 Plan of
Reorganization and Disclosure Statement in support of Third Amended
Chapter 11 Plan of Reorganization dated November 18, 2019.
The Third Amended Plan of Reorganization (the Plan) under Chapter
11 of the Bankruptcy Code proposes to pay the creditors of Mirage
Dental Associates Professional, L.L.C., from future income.
The Plan provides for seven (7) classes of secured claims; and four
(4) classes of unsecured claims, and one (1) class of equity
interests. Unsecured creditors holding allowed claims will receive
distributions, which the proponent of this Plan has valued at
approximately one hundred cents (100%) on the dollar. This Plan
also provides for payment of administrative and priority claims.
Class 11 shall be comprised of all creditors who hold Allowed
Unsecured Claims against the Debtor, including any allowed claims,
not subordinated by Order of the Bankruptcy Court, held by any
governmental agency which are not related to actual pecuniary loss,
by any employee of the Debtor in an amount in excess of $12,475 or
otherwise not subject to treatment under 11 U.S.C. § 507(a)(4),
and any deficiency claim of any secured creditor. Class 11
creditors shall receive pro-rata distributions on an annual basis
from the Debtor’s Creditor Fund within thirty (30) days of each
anniversary of the Effective Date for a period of six (6) years.
Class 12 consists of all insider unsecured claims against the
Debtor, namely all amounts loaned to the Debtor by Mr. Michael
Moroni and/or his spouse, to the extent allowed under 11 U.S.C. §
502. Class 12 is impaired. Class 12 shall receive nothing on
account of their claims.
Class 13 consists of all unsecured claims that are subordinated to
all other unsecured claims, including any claims for penalties not
related to actual pecuniary loss and any civil penalties of any
governmental authority, together with any pre-petition interest
accrued on such claims. Such class includes the subordinated
penalty claims of the IRS and Colorado Department of Revenue. Class
13 shall receive nothing on account of their claims.
Class 14 includes the Interests in the Debtor held by the
pre-confirmation members, Dr. Moroni. Class 14 is unimpaired by the
Plan. On the Effective Date of the Plan, all Class 14 interests in
the Debtor shall be retained by the existing interest holder
subject to the terms of the Plan and shall retain all existing
rights and privileges.
The Plan shall be funded by the Net Income of the Debtor. On the
Effective Date of the Plan, the Debtor will open a separate
interest-bearing bank account (the Creditor Fund). The Debtor shall
maintain a separate bank account which shall be used to pay the
ordinary and necessary expenses of running the business (the
Operating Account). The Creditor Fund will be maintained and used
for making payments to creditors in Class 11 until the Plan is
completed.
A redlined copy of the Third Amended Plan is available at
https://tinyurl.com/sw7g4vx from PacerMonitor.com at no charge.
The Debtor is represented by:
BUECHLER LAW OFFICE, LLC
Kenneth J. Buechler, Esq.
999 18th Street, Suite 1230-S
Denver, Colorado 80202
Tel: 720-381-0045
Fax: 720-381-0382
Email: ken@KJBlawoffice.com
About Mirage Dental Associates
Mirage Dental Associates, Professional, LLC, is a privately-held
company in Castle Rock, Colorado, that owns a dental clinic.
Mirage Dental Associates sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. D. Colo. Case No. 18-12496) on March 30,
2018. In the petition signed by Michael J. Moroni, Jr., managing
member, the Debtor disclosed $5.41 million in assets and $8.72
million in liabilities. Judge Joseph G. Rosania Jr. oversees the
case. The Debtor tapped Buechler & Garber, LLC, as its legal
counsel. No official committee of unsecured creditors has been
appointed in the Chapter 11 case.
NANOVIBRONIX INC: Incurs $815,000 Net Loss for Sept. 30 Quarter
---------------------------------------------------------------
NanoVibronix, Inc filed its quarterly report on Form 10-Q,
disclosing a net loss of $815,000 on $101,000 of revenues for the
three months ended Sept. 30, 2019, compared to a net loss of
$1,344,000 on $54,000 of revenues for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $3,070,000,
total liabilities of $840,000, and $2,230,000 in total
stockholders' equity.
The Company's ability to continue to operate is dependent mainly on
its ability to successfully market and sell its products and the
receipt of additional financing until profitability is achieved.
The Company currently incurs and historically has incurred losses
from operations and expects to do so in the foreseeable future. In
2019, the Company raised $3,620,000 through the issuance of its
Series E Preferred Stock and $580,000 through the issuance of its
Common Stock. Despite the cash infusion, the Company will not have
sufficient resources to fund its operations for the next twelve
months from the date of this filing. These conditions raise
substantial doubt about the Company's ability to continue as a
going concern. During the next twelve months management expects
that the Company will need to raise additional capital to finance
its losses and negative cash flows from operations and may continue
to be dependent on additional capital raising as long as its
products do not reach commercial profitability.
A copy of the Form 10-Q is available at:
https://is.gd/HCdLp6
NanoVibronix, Inc., through its subsidiary, NanoVibronix Ltd.,
focuses on the manufacture and sale of noninvasive biological
response-activating devices that target biofilm prevention, wound
healing, and pain therapy. Its principal products include
UroShield, an ultrasound-based product to prevent bacterial
colonization and biofilm in urinary catheters, enhance antibiotic
efficacy, and decrease pain and discomfort associated with urinary
catheter use; PainShield, a patch-based therapeutic ultrasound
technology to treat pain, muscle spasm, and joint contractures; and
WoundShield, a patch-based therapeutic ultrasound device, which
facilitates tissue regeneration and wound healing. The company
sells its products in the United States, Israel, Europe, India, and
internationally through distributor agreements. NanoVibronix, Inc.
was founded in 2003 and is based in Elmsford, New York.
NETWORKBUILDER LLC: Seeks to Hire Alice Bower as Counsel
--------------------------------------------------------
Networkbuilder LLC seeks approval from the US Bankruptcy Court for
the Northern District of Texas to hire the Law Office of Alice
Bower as counsel.
Newtorkbuilder requires the firm to:
a. give the Debtor legal advise with respect to its powers and
duties in the management of its affairs;
b. prepare the necessary applications, orders, answers,
reports and other legal papers;
c. perform all other legal services which may be necessary in
the proceeding.
The firm's hourly rates are:
Alice Bower, Esq. $300
Associates $250
Legal Assistants $150
The firm received a retainer if $8,283 plus $1,717 filing fee.
The firm does not hold any interest adverse to the estate and is a
disinterested person within the meaning of Sec. 101(14) of the
Bankruptcy Code, according to court filings.
The firm can be reached through:
Alice Bower, Esq.
Law Office Of Alice Bower
6421 Camp Bowie Blvd ste 300
Fort Worth, TX 76116
Phone: 817-737-5436
Email: bknotice@alicebower.com
About Networkbuilder LLC
Based in Fort Worth, Texas, Networkbuilder LLC filed a petition
under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Tex. Case No.
19-44550) on Nov 4, 2019, listing under $1 million in both assets
and liabilities. The Law Office Of Alice Bower represents the
Debtor as counsel.
NEW ENGLAND MOTOR: Files Liquidation Plan, Taps Clancy as Trustee
-----------------------------------------------------------------
New England Motor Freight, Inc., et al. and the Official Committee
of Unsecured Creditors propose a joint plan of liquidation for the
resolution of all outstanding Claims against and Equity Interests
in the Debtors as of the Petition Date.
The Combined Plan and Disclosure Statement contemplate the
appointment of a Liquidating Trustee, inter alia, to implement the
terms of the Combined Plan and Disclosure Statement and make
Distributions. Except as otherwise provided by Order of the
Bankruptcy Court, Distributions will likely occur at various
intervals after the Effective Date. The initial Liquidating Trustee
will be Kevin P. Clancy.
Class 5A consists of General Unsecured Claims other than Lender
Deficiency Claims. Each Holder of an Allowed General Unsecured
Claim other than NEMF Lender Deficiency Claim shall receive a
Beneficial Interest that entitles it to its pro-rata share of the
Liquidating Trust Assets available for Distribution. Class 5A
Claims will share pro rata with Class 5D Claims.
Class 5C consists of Auto Insurer Unsecured Indemnity Claims. Auto
Insurer Unsecured Indemnity Claims, if any, are Disputed. Pursuant
to the Auto Liability Claims Protocol, the Auto Insurers have each
agreed to waive and/or release any and all Auto Insurer Unsecured
Indemnity Claims that such Auto Insurer may have against each of
the Auto Liability Claims Released Parties as of the Effective Date
of the Plan.
Class 5D consists of General Unsecured Claims- Lender Deficiency
Claims. Each Holder of an Allowed General Unsecured Claim- Lender
Deficiency Claim shall receive a Beneficial Interest that entitles
it to its pro-rata share of the Liquidating Trust Assets available
for Distribution. Class 5D Claims will share pro rata with Class 5A
Claims.
Class 7 consists of Equity Interests. On the Effective Date, Equity
Interests in the Consolidated Eastern Debtors shall be deemed to be
cancelled. The Holders of Equity Interests in the Consolidated
Eastern Debtors will receive no Distribution or other recovery on
account of such Equity Interests.
The Plan provides for substantive consolidation of the Debtors'
Estates into two (2) groups, the Consolidated Eastern Debtors and
the Consolidated NEMF Debtors, but solely for the purposes of the
Plan, including making any Distributions to Holders of Allowed
Claims.
The Plan shall be funded by (i) available Cash and other available
Estate Assets on the Effective Date, and (ii) funds available after
the Effective Date from, among other things, the liquidation of the
Liquidating Trust Assets, including the prosecution and resolution
of Causes of Action.
A full-text copy of the Plan dated November 19, 2019, is available
at
https://tinyurl.com/wubsz3s from PacerMonitor.com at no charge.
Counsel to the Debtors:
Karen A. Giannelli
Mark B. Conlan
Brett S. Theisen
GIBBONS P.C.
One Gateway Center
Newark, NJ 07102
Telephone: (973) 596-4500
Facsimile: (973) 596-0545
Email: kgiannelli@gibbonslaw.com
mconlan@gibbonslaw.com
btheisen@gibbonslaw.com
Counsel to the Official Committee of Unsecured Creditors
Mary E. Seymour
Joseph J. DiPasquale
LOWENSTEIN SANDLER LLP
One Lowenstein Drive
Roseland, NJ 07068
Telephone: (973) 597-2500
Facsimile: (973) 597-2400
E-mail: mseymour@lowenstein.com
jdipasquale@lowenstein.com
-and-
Rafael X. Zahralddin-Aravena
Jonathan M. Stemerman,
Sarah Denis
ELLIOTT GREENLEAF, P.C.
1105 North Market Street, Suite 1700
Wilmington, DE 19801
Telephone: (302) 384-9400
Facsimile: (302) 384-9399
E-mail: rxza@elliottgreenleaf.com
jms@elliottgreenleaf.com
sxd@elliottgreenleaf.com
About New England Motor Freight
New England Motor Freight, Inc. -- http://www.nemf.com/-- provides
less-than-truckload (LTL) carrier services in the United States and
Canada. Founded in 1977, the company is based in Elizabeth, N.J.,
and has terminals in the Northeast and Mid-Atlantic.
New England Motor Freight and its affiliates sought protection
under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Lead Case
No. 19-12809) on Feb. 11, 2019. At the time of the filing, New
England Motor estimated assets of $100 million to $500 million and
liabilities of $50 million to $100 million.
The cases are assigned to Judge John K. Sherwood.
The Debtors tapped Gibbons P.C. as legal counsel; Whiteford, Taylor
& Preston, LLP as special counsel; Phoenix Executive Services, LLC,
as restructuring advisor; and Donlin Recano as claims agent.
The Office of the U.S. trustee appointed an official committee of
unsecured creditors on Feb. 21, 2019. The committee tapped
Lowenstein Sandler LLP and Elliott Greenleaf as its legal counsel.
PACIFIC CONSTRUCTION: Seeks More Time to File 2015 Financial Report
-------------------------------------------------------------------
Debtor Pacific Construction Group LLC seeks an extension of the
deadline by which the Rule 2015 Financial Report.
The Debtor explains that it needs to amend its September 2015
Financial Report to correct an error that would impact Debtor’s
October 2015 Financial Report.
About Pacific Construction Group
Pacific Construction Group, LLC, sought protection under Chapter 11
of the Bankruptcy Code (Bankr. D. Oregon Case No. 19-31770) on May
14, 2019. In the petition signed by Christopher Mackenzie, member,
the Debtor was estimated to have assets of less than $100,000 and
debt of less than $500,000. The Debtor is represented by Nicholas
J. Henderson, Esq., at Motschenbacher & Blattner, LLP.
PICK-YOUR-OWN INC: Court Denies Exclusivity Extension
-----------------------------------------------------
Judge Paul R. Warren of the U.S. Bankruptcy Court for the Western
District of New York denied the motion of Debtor Pick-Your-Own,
Inc. to extend automatic stay to a non-debtor guarantor.
The Court finds that when filed, the chapter 11 case appeared to be
an effort to reorganize the business of a decades-old apple
orchard. But, after the passage of three months since the petition
was filed, the chapter 11 case was beginning to look as though it
was really filed to obtain a litigation advantage in a two-party
dispute that was being litigated in state court before the
bankruptcy case was filed. And that two-party dispute pits a son
(Bejan) against his father (Munir).
The Court continues to note that the Debtor does not offer a shred
of evidence to support its argument that because Bejan is the sole
principal and guarantor of the Debtor's obligation to Munir,
continued litigation against Bejan seriously risks the Debtor's
ability to reorganize. Under the Queenie standard, the Debtor's
motion fails, because the Debtor has failed to demonstrate that the
state court action would work immediate economic harm upon the
Debtor's estate.
The Court opines that the Debtor has not made the necessary
showings traditionally required for injunctive relief to be granted
under Sec. 105(a) of the Code. The Debtor has failed to show the
likelihood of a successful reorganization. The Debtor has failed to
show that the balance of harm tilts in its favor. And, finally, the
Debtor has not shown that the public interest favors a stay
protecting the non-debtor guarantor, Bejan.
The Court further opines that the Debtor has failed to carry its
burden of proof to demonstrate that the continued litigation
against Bejan, a non-debtor, is legally certain to have an adverse
impact on property of the estate. Additionally, the Debtor has
failed to carry its burden of proof to demonstrate that issuance of
an injunction under Sec. 105(a) of the Code is warranted, under the
traditional preliminary injunction standard.
The Debtor's recently filed request for a 90-day extension of
exclusivity is denied, as the Debtor has failed to demonstrate
sufficient cause to extend that deadline, Judge Warren rules
A full-text copy of the order is available at
https://tinyurl.com/wxppbpx from PacerMonitor.com at no charge.
About Pick-Your-Own Inc.
Pick-Your-Own, Inc., sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. W.D.N.Y. Case No. 19-20821) on Aug. 20,
2019. At the time of the filing, the Debtor disclosed assets of
between $500,001 and $1 million and liabilities of the same range.
Silver & Feldman is the Debtor's counsel.
PROFESSIONAL DIVERSITY: Has $777K Net Loss for Sept. 30 Quarter
---------------------------------------------------------------
Professional Diversity Network, Inc. filed its quarterly report on
Form 10-Q, disclosing a net loss of $777,011 on $1,348,016 of total
revenues for the three months ended Sept. 30, 2019, compared to a
net loss of $7,229,497 on $1,894,622 of total revenues for the same
period in 2018.
At Sept. 30, 2019, the Company had total assets of $9,296,696,
total liabilities of $5,738,785, and $3,557,911 in total
stockholders' equity.
The Company had an accumulated deficit of approximately $87,534,000
at September 30, 2019. During the nine months ended September 30,
2019, the Company generated a net loss from continuing operations
of approximately $2,726,000, used cash in continuing operations of
approximately $3,424,000, and the Company expects that it will
continue to generate operating losses for the foreseeable future.
At September 30, 2019, the Company had a cash balance of
approximately $4,862,000. Total revenues were approximately
$1,348,000 and $1,895,000 for the three months ended September 30,
2019 and 2018, respectively, and approximately $4,021,000 and
$6,327,000 for the nine months ended September 30, 2019 and 2018,
respectively. The Company had working capital of approximately
$149,000 and working capital deficit of $3,384,000 at September 30,
2019 and December 31, 2018, respectively. These conditions raise
substantial doubt about the Company's ability to continue as a
going concern. In order to alleviate the substantial doubt, the
Company has approved and undertaken several measures.
A copy of the Form 10-Q is available at:
https://is.gd/HrjTcu
Professional Diversity Network, Inc. operates online professional
networking communities with career resources in the United States.
The company operates through three segments: Professional Diversity
Network, National Association of Professional Women, and Noble
Voice Operations. The company was founded in 2003 and is
headquartered in Chicago, Illinois. Professional Diversity Network,
Inc. is a subsidiary of Cosmic Forward Limited.
RCG RESOLUTION: Seeks to Hire an Attorney
-----------------------------------------
RCG Resolution Trust seeks approval from the United States
Bankruptcy Court for the Southern District of California (San
Diego) to hire an attorney.
Creig Greaves, Esq., as counsel, will render the following
services:
a. give the Debtor legal advice with respect to powers and
duties under the continued operation and management of the estate;
b. prepare on behalf of the Debtor the necessary legal papers,
reports and correspondence; and
c. perform all other legal services for the Debtor which may
be necessary.
Mr. Greaves assures the court that he does not represent an
interest materially adverse to the estate.
The counsel can be reached at:
R. Creig Greaves, Esq.
110 West C Street #2101
San Diego, CA 92101
Phone: (619) 840-5071
About RCG Resolution Trust
RCG Resolution Trust, a business trust, is engaged in activities
related to real estate.
RCG Resolution Trust filed a voluntary petition for relief under
Chapter 11 of the United States Bankruptcy Code (Bankr. S.D. Cal.
Case No. 19-06444) on Oct 25, 2019. In the petition signed by
Thaddeus Hermes, trustee, the Debtor estimates $1 million to $10
million in assets and $500,000 to $1 million in liabilities. R.
Creig Greaves, Esq. at R. CREIG GREAVES is the Debtor's counsel.
ROCKY MOUNTAIN: Reports $920K Net Loss for Quarter Ended Sept. 30
-----------------------------------------------------------------
Rocky Mountain High Brands, Inc. filed its quarterly report on Form
10-Q, disclosing a net loss of $920,242 on $353,863 of sales for
the three months ended Sept. 30, 2019, compared to a net loss of
$991,972 on $117,117 of sales for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $1,130,752,
total liabilities of $2,170,032, and $1,039,280 in total
shareholders' deficit.
The Company has a shareholders' deficit of $1,039,280 and an
accumulated deficit of $37,867,494 as of September 30, 2019 and has
generated operating losses since inception. These factors, among
others, raise substantial doubt about the ability of the Company to
continue as a going concern. The Company's continuation as a going
concern is dependent upon its ability to generate revenues and its
ability to continue raising capital.
A copy of the Form 10-Q is available at:
https://is.gd/G15mUO
About Rocky Mountain
Dallas, Texas-based Rocky Mountain High Brands, Inc. (OTCMKTS:RMHB)
is a consumer goods brand development company specializing in
developing, manufacturing, marketing, and distributing
""high-quality, health conscious"", cannabidiol and hemp- infused
products that span various categories including beverage, food,
fitness, skin care and more. RMHB also markets a naturally high
alkaline spring water as part of its brand portfolio. The Company
continues to market its lineup of four naturally flavored
hemp-infused functional beverages (Citrus Energy, Black Tea, Mango
Energy and Lemonade) and a low-calorie Coconut Lime Energy drink,
as well as hemp-infused 2oz. Mango Energy Shots and Mixed Berry
Energy Shots. RMHB also bottles and distributes its naturally high
alkaline spring water under the name Eagle Spirit Spring Water.
RUBY'S FRANCHISE: Disclosure Motion Hearing Continued to Nov. 26
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California,
Santa Ana Division, continued the hearing on the motion for
approval of Chapter 11 Disclosure Statement, the motion to
extend/limit exclusivity period and status conference that were
scheduled for November 22, 2019 to November 26, 2019.
About Ruby's Franchise Systems
Ruby's Franchise Systems, Inc.
--https://www.rubys.com/franchising-- is the creator of Ruby's
Diner which serves burgers, hand-made milkshakes, in addition to a
wide selection of breakfast, lunch and dinner entrees. Ruby's Diner
operates across California, Nevada and Texas.
Ruby's Franchise Systems filed its voluntary petition for relief
under chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No.
18-13324) on Sept. 6, 2018. In the petition signed by Doug
Cavanaugh, president, the Debtor was estimated to have up to
$50,000 in assets and $1 million to $10 million in liabilities.
Theodora Oringher PC, led by Eric J. Fromme, serves as general
bankruptcy counsel to the Debtor.
SAVE MONEY: Seeks to Hire Johnson Pope as Special Counsel
---------------------------------------------------------
Save Money and Retain Temperature, LLC received approval from the
U.S. Bankruptcy Court for the Middle District of Florida to hire
Johnson Pope Bokor Ruppel & Burns, LLP as its special counsel.
The firm will provide services in connection with the Hayden
Building Maintenance Corporation's litigation.
Johnson Pope will be paid at the hourly rate of $425.
Johnson Pope will also be reimbursed for reasonable out-of-pocket
expenses incurred.
Michael C. Markham, partner of Johnson Pope Bokor Ruppel & Burns,
LLP, assured the Court that the firm is a "disinterested person" as
the term is defined in Section 101(14) of the Bankruptcy Code and
does not represent any interest adverse to the Debtor and its
estates.
Johnson Pope can be reached at:
Michael C. Markham, Esq.
JOHNSON POPE BOKOR RUPPEL & BURNS, LLP
401 East Jackson Street, Suite 3100
Tampa, FL 33602
Tel: (813) 225-2500
E-mail: mikem@jpfirm.com
About Save Money and Retain Temperature
Save Money and Retain Temperature, LLC, is an insulation contractor
in Tampa, Fla., which specializes in roofing, siding and sheet
metal work.
Save Money and Retain Temperature sought protection under Chapter
11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 19-04090) on
April 30, 2019. At the time of the filing, the Debtor was
estimated to have assets of between $1 million and $10 million and
liabilities of the same range. Santana, Byrd & Jaap, P.A., is the
Debtor's counsel.
SINO-GLOBAL SHIPPING: Reports $1.6MM Net Loss for Third Quarter
---------------------------------------------------------------
Sino-Global Shipping America, Ltd. filed its quarterly report on
Form 10-Q, disclosing a net loss (attributable to the Company) of
$1,627,353 on $1,786,226 of total revenues for the three months
ended Sept. 30, 2019, compared to a net loss (attributable to the
Company) of $1,316,762 on $6,499,533 of total revenues for the same
period in 2018.
At Sept. 30, 2019, the Company had total assets of $18,690,248,
total liabilities of $5,139,260, and $13,550,988 in total equity.
The Company's Chief Executive Officer Lei Cao and Acting Chief
Financial Officer Tuo Pan said, "The Company's management is of the
opinion that it has sufficient funds to meet the Company's working
capital requirements and current liabilities as they become due one
year from issuance of these financial statements. However, there
is no assurance that management will be successful in their plans.
There are a number of factors that could potentially arise that
could undermine the Company's plans, such as changes in the PRC
government policy, economic conditions, and competitive pricing in
the industries that the Company operates in. If management is
unable to execute this plan, there would likely be a material
adverse effect on the Company's business. All of these factors
raise substantial doubt about the ability of the Company to
continue as a going concern."
A copy of the Form 10-Q is available at:
https://is.gd/diEpYL
Sino-Global Shipping America, Ltd. provides shipping and freight
logistics integrated solutions in the United States, China, and
Hong Kong. Its services include shipping agency, inland
transportation management, freight logistics, and container
trucking services. The company was founded in 2001 and is
headquartered in Roslyn, New York.
SIVYER STEEL: Court to Combine Plan & Disclosure Hearing
--------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Iowa
reviewed the application of Debtor Sivyer Steel Corporation for
conditional approval of its disclosure statement.
On review, Judge Anita L. Shodeen held that the Debtor does not
qualify as a small business debtor according to the definition at
11 U.S.C. Sec. 51(D). Accordingly, the hearing on the disclosure
statement shall be scheduled simultaneously with the plan
confirmation hearing, the Court rules
A copy of the Order is available at https://tinyurl.com/wf76old
from PacerMonitor.com at no charge.
About Sivyer Steel Corporation
Sivyer Steel Corporation -- https://www.sivyersteel.com/ -- is a
supplier of steel castings based in Bettendorf, Iowa. Founded by
Frederick Lincoln in 1909, the company is an ISO 9001:2008
recertified steel foundry, which means that it meets the
International Organization for Standardization's quality management
system.
The Company develops custom steel castings and components for
clients in industries that include government, private, and public
sectors. Sivyer Steel specializes in military castings, energy
applications, railroad castings, wear parts, pump & valves, oil &
gas, mining, construction castings, perimeter security, and
agriculture.
An involuntary Chapter 11 case was filed against the Company on
March 8, 2018, by alleged creditors Sadler Machine Co., Speyside
Machining Holdings, LLC, and ARCO Manufacturing Corporation.
Sivyer Steel sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. S.D. Iowa Case No. 18-00507) on March 14, 2018. In the
petition signed by Keith Kramer, president, the Debtor disclosed
$16.43 million in assets and $18.35 million in liabilities.
Judge Anita L. Shodeen presides over the case.
The Debtor hired Bradshaw, Fowler, Proctor & Fairgrave as its legal
counsel; Spencer Fane LLP as special counsel; and Concord Financial
Advisors, LLC, as investment banker.
The Office of the U.S. Trustee appointed an official committee of
unsecured creditors on March 19, 2018. The committee hired Michael
Best & Friedrich LLP as its legal counsel, and Whitfield & Eddy,
PLC as its Iowa counsel.
The official committee of unsecured creditors retained National
CRS, LLC, as its financial advisor.
SIVYER STEEL: Plan & Disclosure Hearing Set for Jan. 20 Next Year
-----------------------------------------------------------------
Judge Anita L. Shodeen of the U.S. Bankruptcy Court for the
Southern District of Iowa established the following dates and
deadlines for debtor-in-possession Sivyer Steel Corporation:
* December 30, 2019, is the deadline for any objections to the
Disclosure Statement or the Chapter 11 plan.
* December 30, 2019, is the deadline for ballots accepting or
rejecting the amended plan of reorganization to the attorney for
the debtor in possession.
* January 7, 2020, the attorney for the debtor in possession shall
file a report on balloting that conforms to the Plan Ballot Summary
located on the Court’s website.
* January 10, 2020, at 9:00 a.m. is the hearing on the disclosure
statement and plan of reorganization at the U.S. Courthouse Annex,
110 East Court Avenue, Des Moines, Iowa.
About Sivyer Steel Corporation
Sivyer Steel Corporation -- https://www.sivyersteel.com/ -- is a
supplier of steel castings based in Bettendorf, Iowa. Founded by
Frederick Lincoln in 1909, the company is an ISO 9001:2008
recertified steel foundry, which means that it meets the
International Organization for Standardization's quality management
system.
The Company develops custom steel castings and components for
clients in industries that include government, private, and public
sectors. Sivyer Steel specializes in military castings, energy
applications, railroad castings, wear parts, pump & valves, oil &
gas, mining, construction castings, perimeter security, and
agriculture.
An involuntary Chapter 11 case was filed against the Company on
March 8, 2018, by alleged creditors Sadler Machine Co., Speyside
Machining Holdings, LLC, and ARCO Manufacturing Corporation.
Sivyer Steel sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. S.D. Iowa Case No. 18-00507) on March 14, 2018. In the
petition signed by Keith Kramer, president, the Debtor disclosed
$16.43 million in assets and $18.35 million in liabilities.
Judge Anita L. Shodeen presides over the case.
The Debtor hired Bradshaw, Fowler, Proctor & Fairgrave as its legal
counsel; Spencer Fane LLP as special counsel; and Concord Financial
Advisors, LLC, as investment banker.
The Office of the U.S. Trustee appointed an official committee of
unsecured creditors on March 19, 2018. The committee hired Michael
Best & Friedrich LLP as its legal counsel, and Whitfield & Eddy,
PLC as its Iowa counsel.
The official committee of unsecured creditors retained National
CRS, LLC, as its financial advisor.
SIZMEK INC: Seeks to Hire ASK LLP as Special Counsel
----------------------------------------------------
Sizmek Inc. and its debtor-affiliates seek approval from the U.S.
Bankruptcy Court for the Southern District of New York to hire ASK
LLP as their special counsel.
ASK will render the following Preference Action services:
a. Pre-Suit. Time permitting, ASK attempts to recover claims
before an adversary proceeding is commenced and expenses are
incurred. To procure settlements ASK sends a demand package
consisting of the identification of the transfers at issue, an
explanation of the cause of action and any new value that may
reduce the preference exposure. ASK attempts to make phone contact
with every recipient of a preference demand to verify the package
is in the right hands and to encourage the settlement option. As
part of the settlement process, ASK may share certain preference
analysis reports.
b. Suit. Once an action is commenced, ASK usually serves a
summons and complaint, a cover letter, and appropriate local forms
such as a notice of dispute resolution alternatives. ASK again
attempts to make phone contact with every recipient of a summons
and complaint to verify the package is in the right hands and to
encourage the settlement option.
ASK LLP will be paid at as follows:
a. Pre-Suit. ASK shall earn legal fees on a contingency basis
of 13% of the cash value of any recoveries and the cash equivalent
value of any claim waiver obtained from a potential defendant of a
Preference Action after ASK issues a demand letter but prior to
initiating a Preference Action proceeding against such potential
defendant.
b. Post Suit Until 60 Days Before The Initial Trial Date. ASK
shall earn legal fees on a contingency basis of 21% of the cash
value of any recoveries and the cash equivalent value of any claim
waiver obtained in connection with the settlement of any Preference
Action after ASK initiates such Preference Action proceeding but
prior to sixty (60) days before the initial trial date.
c. Later Than The 60th Day Prior To The Initial Trial Date, Or
Collection Made After Judgment Is Entered. ASK shall earn legal
fees on a contingency basis of 25% of the cash value of any
recoveries and the cash equivalent value of any claim waiver
obtained from a Preference Action defendant.
Joseph Steinfeld, Jr., co-managing principal of ASK, disclosed in a
court filing that his firm is a "disinterested person" as defined
in section 101(14) of the Bankruptcy Code.
In accordance with Appendix B-Guidelines for reviewing fee
applications filed by attorneys in larger Chapter 11 cases, Mr.
Steinfeld disclosed that his firm has not agreed to any variations
from, or alternatives to, its standard or customary billing
arrangements.
Mr. Steinfeld also disclosed that no ASK professional has varied
his rate based on the geographic location of the Debtors'
bankruptcy cases.
Compensation is a contingency-based fee, plus reimbursement of
expenses, Mr. Steinfeld added.
ASK can be reached through:
Joseph L. Steinfeld, Jr.
ASK LLP
151 West 46th Street, 4th Floor
New York, NY 10036
Tel: 212-267-7342
Fax: 212-918-3427
About Sizmek Inc.
Sizmek Inc. is an online advertising campaign management and
distribution platform for advertisers, media agencies and
publishers.
Sizmek Inc. filed a voluntary Chapter 11 petition (Bankr. S.D.N.Y.
Case No. 19-10971) on March 29, 2019. Judge Stuart M. Bernstein
oversees the case. Justin R. Bernbrock, Esq., at Kirkland & Ellis
LLP, is the Debtor's counsel.
On April 17, 2019, the U.S. Trustee for Region 2 appointed
creditors to serve on the official committee of unsecured creditors
in the Chapter 11 cases of Sizmek Inc. and its affiliates. The
committee retained Seth Van Aalten, Esq., Michael Klein, Esq.,
Robert Winning, Esq., and Lauren Reichardt, Esq., at Cooley LLP, in
New York.
SKY PARTNERS: Disclosure Motion Hearing Reset to Jan. 13 Next Year
------------------------------------------------------------------
The case management conference and hearing on motion to approve
disclosure statement scheduled for November 26, 2019 in the case of
Sky Partners NYC has been adjourned to January 13, 2020, at 10:00
a.m.
About Sky Partners NYC
Sky Partners NYC LLC filed a Chapter 11 petition (Bankr. S.D.N.Y.
Case No. 18-23709), on Nov. 2, 2018. The petition was signed by
Abraham Koenig, member. At the time of filing, the Debtor had
estimated both assets and liabilities to be between $100,001 and
$500,000. The Debtor is represented by the Law Offices of Allen A.
Kolber, Esq.
SOUTHFRESH AQUACULTURE: Plan Outlined OK'd, Dec. 20 Hrg. Set
------------------------------------------------------------
Judge Jennifer H. Henderson of the U.S. Bankruptcy Court for the
Northern District of Alabama, Western Division, has approved the
disclosure statement explaining the plan of SouthFresh Aquaculture,
LLC as adequate.
The Court will convene a hearing on December 20, 2019, at 10:00
a.m. (local time), in Room 2600, at the Federal Courthouse, 2005
University Boulevard, in Tuscaloosa, Alabama 35401, to consider
approval of the confirmation of the Plan.
Interested parties have until Dec. 18 to file objections to the
Plan.
A full-text copy of the Order is available at
https://tinyurl.com/u6zgpup from PacerMonitor.com at no charge.
About SouthFresh Aquaculture
A subsidiary of Alabama Farmers Cooperative, SouthFresh Aquaculture
LLC -- http://www.southfresh.com/-- is a catfish-centered business
committed to sustainable aquaculture practices. Founded in 1987,
the company's primary business is domestic catfish processing. It
processes millions of pounds of catfish per year for food service
and retail industries.
SouthFresh Aquaculture sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. N.D. Ala. Case No. 19-70152) on Jan. 28,
2019. At the time of the filing, the Debtor was estimated to have
assets of between $10 million and $50 million and liabilities of
between $10 million and $50 million. The case is assigned to Judge
Jennifer H. Henderson. The Debtor tapped Maynard, Cooper & Gale,
P.C., as its legal counsel.
SPORTS FIELD HOLDINGS: Incurs $797K Net Loss for Sept. 30 Quarter
-----------------------------------------------------------------
Sports Field Holdings, Inc. filed its quarterly report on Form
10-Q, disclosing a net loss of $796,980 on $264,840 of contract
revenue for the three months ended Sept. 30, 2019, compared to a
net loss of $1,107,385 on $3,077,289 of contract revenue for the
same period in 2018.
At Sept. 30, 2019, the Company had total assets of $1,799,499,
total liabilities of $10,799,756, and $9,000,101 in total
stockholders' deficit.
The Company said, "Our historical operating results indicate
substantial doubt exists related to the Company's ability to
continue as a going concern. As reflected in the accompanying
consolidated financial statements, as of September 30, 2019 the
Company had a working capital deficit of $8,757,699. The Company
had losses of $1,302,571 for the nine months ended September 30,
2019 and $2,151,188 for the nine months ended September 30, 2018
and had an accumulated deficit of $20,869,101 at September 30,
2019. Substantially all of our accumulated deficit has resulted
from losses incurred on construction projects, costs incurred in
connection with our research and development and general and
administrative costs associated with our operations. These factors
raise substantial doubt about the Company's ability to continue as
a going concern through November 19, 2020."
A copy of the Form 10-Q is available at:
https://is.gd/kdIIR2
Sports Field Holdings, Inc., a product development company, engages
in the design, engineering, and construction of athletic fields and
facilities, and sports complexes. It develops, sells, and installs
PrimePlay line of synthetic turf and track products, infill
materials, and shock/drainage pads; and Replicated Grass synthetic
turf systems. The company's target markets include colleges,
universities, high schools, primary schools, municipal parks and
recreations departments, commercial and residential landscaping
projects, private club sports associations, and independent
athletic training facilities, as well as golf and golf related
activities. Sports Field Holdings, Inc. was founded in 2011 and is
headquartered in St. Charles, Illinois.
STORE IT REIT: River Oaks Sale Proceeds Expected to Fund Plan
-------------------------------------------------------------
Debtor Store It Reit, Inc. filed with the U.S. Bankruptcy Court for
the Southern District of Texas, Houston Division, a third amended
disclosure statement in support of third amended plan of
liquidation.
The Plan proposes treatment for Class 3, 4 and 5.
Class 3 Unsecured. After payment in full of all Class 1 and Class 2
claims, and except to the extent that the holder of an Allowed
General Unsecured Claim and Store It or the Liquidating Trustee
agree to different treatment, the holders of each Allowed Class 3
Claim shall receive a pro-rata distribution from proceeds of the
Liquidating Trust Assets payable by the Liquidating Trustee until
such claims are paid in full.
Class 4 Unsecured. After payment in full of all Class 1, Class 2
and Class 3 claims, and except to the extent that the holder of an
Allowed Claim of an Insider or Affiliate and Store It or the
Liquidating Trustee agree to different treatment, the holders of
each Allowed Class 4 Claim shall receive a pro-rata distribution
from proceeds of the Liquidating Trust Assets payable by the
Liquidating Trustee until such claims are paid in full.
Holders of Allowed Class 5 Interests will obtain a proportional
interest in the Liquidating Trust as they held against Store It as
of the Petition Date. There shall be no distribution under the Plan
on account of Allowed Class 5 Interests unless and until all
Allowed Class 1, Class 2, Class 3 and Class 4 Claims are paid in
full. Thereafter, each Holder of an Allowed Class 5 Interest shall
receive a pro-rata distribution from the proceeds of the
Liquidating Trust Assets.
Store It asserts it is entitled to proceeds of approximately
$600,000 from the sale of the River Oaks Property. If a settlement
cannot be reached prior to confirmation, the Liquidating Trustee
will have authority to pursue any and all claims arising from River
Oaks Storage LLC's failure to remit funds to Store It. Store It
expects to recover whether by resolution or litigation significant
sums from the River Oaks sale proceeds of no less than $400,000.
These funds will be used to fund distributions under the Plan.
To fund the Plan include, but are not limited to (1) Cash received
by the Liquidating Trust on the Effective Date, (2) distributions
and/or collections from the Fort Worth Property and/or the River
Oaks Property, (3) sale proceeds from the sale of the Houston South
Mason Property, the Fort Worth Property and/or the River Oaks
Property, and (4) recoveries, if any, from the Litigation Assets.
A full-text copy of the amended disclosure statement is available
at https://tinyurl.com/rn2l4qf from PacerMonitor.com at no charge.
The Debtor is represented by:
Deirdre Carey Brown
State Bar No. 24049116
Melissa A. Haselden
State Bar No. 00794778
Vianey Garza
State Bar No. 24083057
5051 Westheimer, Suite 1200
Houston, Texas 77056
About Store It REIT
Store It REIT, Inc., formerly known as Evergreen Realty REIT, Inc.,
and American Spectrum REIT I, Inc., is a privately held company in
Ketchum, Idaho engaged in activities related to real estate. The
Company has 98.64% equity interest in Evergreen REIT, LP.
Evergreen REIT, LP, is a real estate investment trust owning
interest in entities that own tenant in common, limited
partnership, and/or general partnership interest in three
self-storage facilities.
Store It REIT filed for Chapter 11 bankruptcy protection (Bankr.
S.D. Tex. Case No. 18-32179) on April 27, 2018, listing $13.18
million in total assets and $127,143 in total liabilities. The
petition was signed by William J. Carden, president and director.
Judge Marvin Isgur presides over the case. The Debtor tapped
Deirdre Carey Brown, Esq., at Hoover Slovacek LLP, as its
bankruptcy counsel.
On July 3, 2018, the Office of the U.S. Trustee appointed an
official committee of equity security holders. The equity committee
tapped Polsinelli PC as its legal counsel.
The equity committee has sought appointment of an examiner in the
company's Chapter 11 case.
The Debtor has filed a plan of liquidation and disclosure
statement.
TADA VENTURES: Plan Payments to be Funded by Estate Sale Proceeds
-----------------------------------------------------------------
Debtor TADA Ventures, LLC filed with the U.S. Bankruptcy Court for
the Southern District of Texas, Houston Division, an amended plan
of reorganization and amended disclosure statement.
TADA scheduled an unsecured priority claim of $500 for past wages
to Jean and Earl Stout. TADA scheduled a general unsecured claim of
$277,845.39 to Jean and Earl Stout for member loans.
Holders of Allowed Claims in Classes 1, 2, and 3 shall receive on
or before the Effective Date, the proceeds of the Collateral
securing such Claimant’s Allowed Claim after satisfaction in full
of all superior liens up to the Allowed Amount of the Claimant’s
Allowed Secured Claim.
Holders of Allowed Priority Claims in Classes 4 and 5 shall be paid
in Cash their Allowed Claims within thirty days following the
Effective Date. In the event of any failure of the Reorganized
Debtor to timely make its required plan payments, which shall
constitute an event of default under the Plan as to these
Claimants, they shall send Notice of Default to the Reorganized
Debtor. If the default is not cured within thirty (30) days of the
date of such notice, the Holders of Allowed Claims may proceed to
collect all amounts owed pursuant to state law without further
recourse to the Bankruptcy Court.
All disputed Claims shall be treated in accordance with Section XII
of this Plan.
Payments and distributions under the Plan will be funded by the
sale of the Katy Commerce Center. The Debtor has procured a buyer
and contemplates closing on the sale of the Katy Commerce Center on
or about December 31, 2019. Debtor's means for implementation of
its Plan is derived from its anticipated income from future
operations until the sale of its principal asset, the Katy Commerce
Center.
A full-text copy of the Amended Plan is available at
https://tinyurl.com/qo8fnf7 from PacerMonitor.com at no charge.
About TADA Ventures
TADA Ventures, LLC owns in fee simple the Katy Commerce Center in
Katy, Texas, an executive suite and business office. The property
has an appraised value of $3.50 million.
TADA Ventures sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. S.D. Texas Case No. 19-31845) on April 1, 2019. At the
time of the filing, the Debtor disclosed $3,523,706 in assets and
$2,337,345 in liabilities.
The case has been assigned to Judge David R. Jones. Corral Tran
Singh LLP is the Debtor's legal counsel.
THERMOGENESIS HOLDINGS: Recurring Losses Cast Going Concern Doubt
-----------------------------------------------------------------
ThermoGenesis Holdings, Inc. filed its quarterly report on Form
10-Q, disclosing a net loss of $2,373,000 on $4,058,000 of net
revenues for the three months ended Sept. 30, 2019, compared to a
net loss of $2,764,000 on $3,113,000 of net revenues for the same
period in 2018.
At Sept. 30, 2019, the Company had total assets of $17,591,000,
total liabilities of $12,960,000, and $4,631,000 in total
stockholders' equity.
At September 30, 2019, the Company had cash and cash equivalents of
$2,800,000 and working capital of $5,435,000, as compared to
$2,400,000 and $2,261,000 respectively at December 31, 2018. The
Company said that these recurring losses raise substantial doubt
about its ability to continue as a going concern within one year
after the issuance date of these financial statements.
ThermoGenesis Holdings further said, "The Company anticipates
requiring additional capital to grow the business, to fund other
operating expenses and to make interest payments on the line of
credit with Boyalife Asset Holding II, Inc. The Company's ability
to fund its cash needs is subject to various risks, many of which
are beyond its control. The Company may seek additional funding
through bank borrowings or public or private sales of debt or
equity securities or strategic partnerships. The Company cannot
guarantee that such funding will be available on a timely basis, in
needed quantities or on terms favorable to the Company, if at
all."
A copy of the Form 10-Q is available at:
https://is.gd/7LB4Sm
ThermoGenesis Holdings, Inc. develops, commercializes, and markets
a range of automated technologies for cell-based therapies in the
United States, China, rest of Asia, Europe, and internationally.
The company operates through two segments, Clinical Development and
Device. The company was formerly known as Cesca Therapeutics Inc.
and changed its name to ThermoGenesis Holdings, Inc. in November
2019. ThermoGenesis Holdings, Inc. was founded in 1986 and is
headquartered in Rancho Cordova, California.
THG HOLDINGS: To Resolve U.S. Trustee & Health Care's Objection
---------------------------------------------------------------
Debtors THG Holdings, et al., filed in October 2019 their Combined
Disclosure Statement and Joint Chapter 11 Plan of Liquidation
Proposed by the Debtors, DIP Agent and Official Committee of
Unsecured Creditors, with a motion for interim approval of the
Combined Disclosure Statement and Plan.
In connection with the Confirmation Hearing, the Debtors filed with
the Court a Memorandum of Law in support of entry of the
confirmation order. The Debtors are working to resolve the
objections from the U.S. Trustee and Health Care Service
Corporation through revisions made to the Confirmation Order.
The Combined Disclosure Statement and Plan contains adequate
information, as required by section 1125, so that creditors were
able to make an informed decision in voting to accept or reject the
Plan, the Debtors assert. In particular, the Plan fully complies
with the requirements of sections 1122, 1123, and 1129 of the
Bankruptcy Code. The Memorandum addresses each confirmation
requirement individually, the Debtors note.
The Plan's classification of Claims and Interests satisfies the
requirements of section 1122 because the Claims or Interests in
each Class are substantially similar to the other Claims or
Interests in such Class. Moreover, the Plan’s classification of
Claims and Interests into seven Classes satisfies the requirements
of section 1122 of the Bankruptcy Code because the Claims and
Interests in each Class differ from the Claims and Interests in
each other Class in a legal or factual nature or are based upon
other relevant criteria.
The Plan was proposed with the legitimate and honest purpose of
maximizing the value of the Estates. Furthermore, the Plan is the
result of good faith, arm’slength negotiations between the
Debtors, the Committee, the DIP Agent, and other parties in
interest. The Plan negotiation process exhibits the Debtors’
dedication to achieving the best possible result for all parties in
interest, as the Debtors considered and incorporated input from
various parties, and amended the Plan, to secure the optimal
treatment for all parties in interest under the circumstances.
The Debtors have disclosed the identity of, and the terms of the
proposed compensation to be paid to, the initial Liquidating
Trustee in Exhibit B of the Plan Supplement, and the appointment of
the Liquidating Trustee will be approved in the Confirmation Order.
The appointment of Paul J. Andrews, through Andrews Advisory Group,
to this role is consistent with the interests of the Debtors’
creditors and the Holders of Interests and with public policy.
The Plan is feasible. The Plan provides for the liquidation of the
Debtors and the distribution of their property in accordance with
the priority scheme set forth in the Bankruptcy Code and the terms
of the Plan. The ability for the Debtors to make distributions as
described in the Plan does not depend on future earnings or
operations—only the orderly liquidation of the Debtors’ assets.
A full-text copy of the Memorandum is available at
https://tinyurl.com/wnkhym3 from PacerMonitor.com at no charge.
The Debtors are represented by:
MORRIS, NICHOLS, ARSHT & TUNNELL LLP
Derek C. Abbott (No. 3376)
Curtis S. Miller (No. 4583)
Daniel B. Butz (No. 4227)
Tamara K. Mann (No. 5643)
Matthew O. Talmo (No. 6333)
Paige N. Topper (No. 6470)
1201 N. Market Street, 16th Floor
P.O. Box 1347
Wilmington, Delaware 19899-1347
Telephone: (302) 658-9200
Facsimile: (302) 658-3989
dabbott@mnat.com
cmiller@mnat.com
dbutz@mnat.com
tmann@mnat.com
mtalmo@mnat.com
ptopper@mnat.com
About THG Holdings LLC
THG Holdings LLC and its affiliates, including True Health LLC,
sought protection under Chapter 11 of the Code (Bankr. D. Del. Lead
Case No. 19-11689) on July 30, 2019.
THG's business is conducted in large part through True Health
--https://truehealthdiag.com/ -- a laboratory provider of
diagnostic and disease-management solutions based in Frisco, Texas.
It utilizes proprietary and innovative diagnostic to detect disease
indicators that enable early stage and monitoring for a variety of
chronic diseases.
At the time of the filing, True Health Diagnostics was estimated to
have assets of between $10 million and $50 million and liabilities
of between $100 million and $500 million.
The cases have been assigned to Judge John T. Dorsey.
The Debtors tapped Morris, Nichols, Arsht & Tunnell LLP as counsel;
Perkins Coie LLP as special counsel; SSG Advisors LLC as investment
banker; and Epiq Corporate , LLC as claims, noticing and
solicitation agent.
Andrew Vara, acting U.S. trustee for Region 3, on Aug. 8, 2019,
three creditors to serve on the official committee of creditors in
the Chapter 11 cases. The Committee Elliott Greenleaf, P.C., and
Cooley LLP, as attorneys, and GlassRatner Advisory & Capital Group,
LLC as financial advisor.
TOUCHPOINT GROUP: Historical Net Losses Cast Going Concern Doubt
----------------------------------------------------------------
Touchpoint Group Holdings Inc. filed its quarterly report on Form
10-Q, disclosing a net loss of $3,922,000 on $82,000 of revenue for
the three months ended Sept. 30, 2019, compared to a net loss of
$2,495,000 on $3,000 of revenue for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $5,908,000,
total liabilities of $3,105,000, and $2,198,000 in total
stockholders' equity.
Touchpoint Group said, "Historically, the Company has incurred net
losses and negative cash flows from operations which raise
substantial doubt about the Company's ability to continue as a
going concern. The Company has principally financed these losses
from the sale of equity securities and the issuance of debt
instruments.
"The Company may be required to raise additional funds through
various sources, such as equity and debt financings. While the
Company believes it is probable that such financings could be
secured, there can be no assurance the Company will be able to
secure additional sources of funds to support its operations or, if
such funds are available, that such additional financing will be
sufficient to meet the Company's needs or on terms acceptable to
us."
A copy of the Form 10-Q is available at:
https://is.gd/gaxBos
About Touchpoint Group Holdings
Touchpoint Group Holdings Inc. (http://touchpointgh.com),formerly
known as One Horizon Group, Inc., is a media and digital technology
acquisition and software company, which owns Love Media House, a
full-service music production, artist representation and digital
media business. The Company also holds a majority interest in
123Wish, a subscription-based, experience marketplace, as well as
majority interest in Browning Productions & Entertainment, Inc., a
full-service digital media and television production company.
TWINLAB CONSOLIDATED: Incurs $3.2MM Net Loss for Sept. 30 Quarter
-----------------------------------------------------------------
Twinlab Consolidated Holdings, Inc. filed its quarterly report on
Form 10-Q, disclosing a total net loss of $3,216,000 on $19,851,000
of net sales for the three months ended Sept. 30, 2019, compared to
a total net loss of $8,713,000 on $14,933,000 of net sales for the
same period in 2018.
At Sept. 30, 2019, the Company had total assets of $63,058,000,
total liabilities of $122,859,000, and $59,801,000 in total
stockholders' deficit.
The Company said, "Because of our history of operating losses,
significant interest expense on our debt, and the recording of
significant derivative liabilities, we have a working capital
deficiency of $99,038,000 as of September 30, 2019. We also have
$91,105,000 of debt, net of discount, presented in current
liabilities. These continuing conditions, among others, raise
substantial doubt about our ability to continue as a going
concern."
A copy of the Form 10-Q is available at:
https://is.gd/7IhQlt
Twinlab Consolidated Holdings, Inc., together with its
subsidiaries, manufactures, markets, distributes, and retails
nutritional supplements and other natural products worldwide. It
is based in Boca Raton, Florida.
URBAN-GRO INC: Incurs $2.8MM Net Loss for Quarter Ended Sept. 30
----------------------------------------------------------------
urban-gro, Inc. filed its quarterly report on Form 10-Q, disclosing
a net loss of $2,809,530 on $5,583,064 of revenue for the three
months ended Sept. 30, 2019, compared to a net loss of $846,808 on
$5,336,631 of revenue for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $10,141,839,
total liabilities of $15,407,311, and $5,265,472 in total
shareholders' deficit.
Since inception, the Company has incurred significant operating
losses and has funded its operations primarily through issuance of
equity securities, debt, and operating revenue. As of September
30, 2019, the Company had an accumulated deficit of $14,259,457, a
working capital deficit of $6,556,214, and negative stockholders'
equity of $5,265,472. These facts and conditions raise substantial
doubt about the Company's ability to continue as a going concern,
and the Company's independent registered public accounting firm
included an explanatory paragraph regarding going concern in its
audit report on the Company for the year ended December 31, 2018.
A copy of the Form 10-Q is available at:
https://is.gd/WnfOUs
urban-gro, Inc. provides end-to-end agricultural solutions for
cannabis and traditional agriculture produce growers in the United
States, Canada, and internationally. It engages in the design,
engineering, sale, and commissioning of various integrated
cultivation systems, including environmental controls, and
fertigation and irrigation distribution products; commercial grade
light systems; water treatment and reclamation systems; rolling and
automated bench systems; fans; and odor mitigation systems. The
company also offers integrated post management plan design and
product solutions; and Soleil 360, an agriculture technology
platform. urban-gro, Inc. was founded in 2014 and is based in
Lafayette, Colorado.
VERITY HEALTH: Wants Disclosure Motion Hearing Continued to Nov. 26
-------------------------------------------------------------------
Verity Health System of California, Inc. and its affiliated debtors
asked the Bankruptcy Court for a continued hearing on its
Disclosure Statement on Nov. 26, 2019. In support of the motion,
the Debtors submitted to the Court a declaration from Richard G.
Adcock, chief executive officer of Verity Health.
In his declaration, Mr. Adcock asserted that the Debtors are
conscious of the urgent need to advance the Disclosure Statement
and plan process, but cannot in good faith move forward until there
is more certainty that a successful closing can be reasonably
anticipated. The Debtors’ plan of liquidation is contingent on
the sale closing, and, thus, any material doubt cast on the SGM
sale hinders the Debtors' ability to provide adequate information
to creditors and the Court, Mr. Adcock maintained.
A full-text copy of the motion is available at
https://tinyurl.com/teqrl3u from PacerMonitor.com at no charge.
The Debtors are represented by:
SAMUEL R. MAIZEL (Bar No. 189301)
samuel.maizel@dentons.com
TANIA M. MOYRON (Bar No. 235736)
tania.moyron@dentons.com
NICHOLAS A. KOFFROTH (Bar. No. 287854)
nicholas.koffroth@dentons.com
DENTONS US LLP
601 South Figueroa Street, Suite 2500
Los Angeles, California 90017-5704
Tel: (213) 623-9300 / Fax: (213) 623-9924
About Verity Health System
Verity Health System -- https://www.verity.org/ -- operates as a
non-profit health care system in the state of California, with
approximately 1,680 inpatient beds, six active emergency rooms, a
trauma center, and a host of medical specialties, including
tertiary and quaternary care. Verity's two Southern California
hospitals are St. Francis Medical Center in Lynwood and St. Vincent
Medical Center in Los Angeles. In Northern California, O'Connor
Hospital in San Jose, St. Louise Regional Hospital in Gilroy, Seton
Medical Center in Daly City and Seton Coastside in Moss Beach are
part of Verity Health. Verity Health also includes Verity Medical
Foundation.
With more than 100 primary care and specialty physicians, VMF
offers medical, surgical and related healthcare services for people
of all ages at community-based, multi-specialty clinics
conveniently located in areas served by the Verity hospitals.
Verity Health System was created in a transaction approved by
California Attorney General Kamala Harris and completed in December
2015.
Verity Health System of California, Inc., and its affiliates sought
protection under Chapter 11 of the Bankruptcy Code (Bankr. C.D.
Cal. Lead Case No. 18-20151) on Aug. 31, 2018. In the petition
signed by CEO Richard Adcock, Verity Health estimated assets of
$500 million to $1 billion and liabilities of $500 million to $1
billion.
Judge Ernest M. Robles oversees the cases.
The Debtors tapped Dentons US LLP as their bankruptcy counsel;
Berkeley Research Group, LLC, as financial advisor; Cain Brothers
as investment banker; and Kurtzman Carson Consultants as claims
agent.
The Office of the U.S. Trustee appointed an official committee of
unsecured creditors on Sept. 17, 2018.
WEST COAST VENTURES: Incurs $1.1MM Net Loss for Sept. 30 Quarter
----------------------------------------------------------------
West Coast Ventures Group Corp. filed its quarterly report on Form
10-Q, disclosing a net loss of $1,072,744 on $981,367 of revenues
for the three months ended Sept. 30, 2019, compared to a net loss
of $486,470 on $806,989 of revenues for the same period in 2018.
At Sept. 30, 2019, the Company had total assets of $2,477,140,
total liabilities of $7,027,645, and $4,550,505 in total
stockholders' deficit.
The Company said, "We sustained a net loss of approximately $3.4
million for the nine months ended September 30, 2019 and have an
accumulated deficit of approximately $7.0 million and a negative
working capital of approximately $5.5 million at September 30,
2019, inclusive of indebtedness. These conditions raise
substantial doubt about our ability to continue as a going
concern.
"Failure to successfully continue to grow restaurant operation
revenues could harm our profitability and materially adversely
affect our financial condition and results of operations. We face
all of the risks inherent in a new business, including the need for
significant additional capital, management's potential
underestimation of initial and ongoing costs, and potential delays
and other problems in connection with establishing and opening
restaurant operations.
"We are continuing our plan to further grow and expand restaurant
operations and seek sources of capital to pay our contractual
obligations as they come due. Management believes that its current
operating strategy will provide the opportunity for us to continue
as a going concern as long as we are able to obtain additional
financing; however, there is no assurance this will occur."
A copy of the Form 10-Q is available at:
https://is.gd/rZUwm7
West Coast Ventures Group Corp. owns and operates casual
restaurants. It operates five restaurants in the Denver, Colorado
metro area. The company is based in Arvada, Colorado.
YOUNGEVITY INT'L: Needs More Capital to Remain as Going Concern
---------------------------------------------------------------
Youngevity International, Inc. filed its quarterly report on Form
10-Q, disclosing a net loss of $7,874,000 on $34,017,000 of
revenues for the three months ended Sept. 30, 2019, compared to a
net loss of $8,410,000 on $39,082,000 of revenues for the same
period in 2018.
At Sept. 30, 2019, the Company had total assets of $141,185,000,
total liabilities of $85,012,000, and $56,173,000 in total
stockholders' equity.
The Company has sustained significant net losses during the nine
months ended September 30, 2019 and 2018 of approximately
$20,181,000 and $11,332,000, respectively. Net cash used in
operating activities was approximately $7,762,000 and $4,732,000
for the nine months ended September 30, 2019 and 2018,
respectively. The Company does not currently believe that its
existing cash resources are sufficient to meet the Company's
anticipated needs over the next twelve months from the date hereof.
Based on its current cash levels and its current rate of cash
requirements, the Company will need to raise additional capital
and/or will need to further reduce its expenses from current
levels. The Company said that it could experience further
restraint on liquidity if it does not collect the accounts
receivable balance with H&H Coffee Group Export Corp., in full,
which the Company believes is not likely based on current
negotiations. These factors raise substantial doubt about the
Company's ability to continue as a going concern.
A copy of the Form 10-Q is available at:
https://is.gd/1E2qFB
Youngevity International, Inc. develops and distributes health and
nutrition related products and services in the United States and
internationally. It operates in three segments: Direct Selling,
Commercial Coffee, and Commercial Hemp. The Company was formerly
known as AL International, Inc. and changed its name to Youngevity
International, Inc. in July 2013. Youngevity International, Inc.
was founded in 1996 and is headquartered in Chula Vista,
California.
*********
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