No. It is basically a case of Cahn going to jail for trading while insolvent (as
would a normal company director) if he carries on in Chapter 11, when the
company is insolvent. There is no money left, or it is known that what does
remain will be gone very shortly to pay various bills. Liabilities exceed
assets. The requirements for Chapter 7 trustees seem to be rather different to
those of Chapter 11 trustees, so his request to continue as trustee will not
necessarily be approved. In any case, it would seem to be highly inappropriate,
as his actions were directly responsible for bleeding SCO dry. If Judge Gross
has the slightest degree of competence he should put SCO into Chapter 7 and
appoint a fresh trustee as liquidator. But on past experience, he will give Cahn
the job. Somehow, I expect at least IBM to object.... [ Reply to This | Parent | # ]
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