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]

September 18, 2006



NOTE: The Status Updates are cumulative. Please read all eleven updates.


Case Administration


Over 26,534 proofs of claims have been recorded to date. The Clerk of the Bankruptcy Court has advised me that all timely filed claims have been docketed. If you have questions regarding proofs of claim, I recommend you have your attorney research your questions. Please have your attorney research your claim to determine if it is filed.

A supplement of answers to the list of frequently asked questions are:

a.)    I do not have authority to operate the business and therefore do not have the authority to execute lien releases. Please DO NOT contact the Clerk of the Bankruptcy Court for assistance. If you need a release, please consult your attorney regarding the appropriate pleading that should be filed on your behalf.

b.)    The Updates will be issued periodically or whenever something of significance happens in this case.


I will not comment on pending litigation other than to describe the procedural status of such matters.

I have filed two separate lawsuits. The first lawsuit, filed on July 13, 2006 seeks damages in excess of $750,000,000 against certain directors, officers and financial institutions. This litigation will be referred to as the State Court Action.

The second lawsuit, filed on September 13, 2006, seeks damages in excess of $70,000,000 from certain financial institutions, the indenture trustees and others. This litigation was filed in Bankruptcy Court and will be referred to as the Bankruptcy Court Action.

State Court Action

The Defendants have transferred this lawsuit to Federal Court in Philadelphia. The Trustee has requested this lawsuit to be remanded to State Court.

Bankruptcy Court Action

The Defendants’ Answer date to the lawsuit is October 16, 2006.