George L. Miller, Trustee
Eight Penn Center, Suite 950
1628 John F. Kennedy Boulevard
Philadelphia, PA 19103
Phone: (215) 561-0950
Fax: (215) 561-0330
Email: [email protected]
March 17, 2006
NOTE: The Statue Updates are cumulative. Please read all six updates.
I have now responded to over 4,700 telephone calls and 6,200 emails. Over 11,450 proofs of claims have been recorded to date. I have spoken with the Bankruptcy Clerk who advised me that there are still 60 crates of mail to be processed.
A supplement to the list of frequently asked questions are:
a.) The Federal Consolidated Income Tax Return for ABFS and Subsidiaries was filed on March 15, 20006.
b.) My last proposal to Greenwich and the Indenture Trustees (IT’s) of the Collateralized Noteholders was rejected. I have rejected their counter proposal to me, because there was no substantial benefit to the estate or unsecured creditors.
c.) Collateralized Noteholders are represented by the IT’s, their contact information is located in Status Update #2. If you are a Collateralized Noteholder, please contact the IT’s if you have questions.
d.) There are no pending discussions for proposals to liquidate the assets. It appears that Greenwich and the IT’s have agreed on a liquidation strategy of allowing Greenwich to collect from the I/O Strips and not liquidate other assets.
e.) Greenwich has not foreclosed on any assets, except the furniture and fixtures.
f.) At present, I estimate that any substantial distribution to unsecured or undersecured creditors would be the result of litigation assets. Greenwich nor the IT’s have allowed any assets of the Debtor for use by the Bankruptcy Trustee to prosecute litigation.
Without an agreement with Greenwich, I am unable to liquidate fully secured assets for the sole benefit of a secured lender.
The only litigation currently pending is the Short Seller Litigation. Demand letters for preferences and fraudulent conveyances have been sent to the creditors. Obermayer Rebman Maxwell & Hippel is still investigating the conduct of the Officers and Directors and have not made any recommendations to the Bankruptcy Trustee at the present time.