Opinion
No. 7-02-10475 MA.
December 13, 2006
John E. Farrow, Attorney for Capital Concepts, Albuquerque, New Mexico.
Gerald R. Velarde, Esq., Counsel for the Debtor, Albuquerque, New Mexico.
ORDER FOR DISBURSEMENT OF FUNDS
THIS MATTER came before the Court on the Motion of Capital Concepts, Inc. (Capital Concepts), the largest secured creditor of the Debtor, for an Order directed to the Chapter 7 Trustee to abandon all assets of the estate encumbered by the lien of Capital Concepts. The Court finds as follows:
1. Capital Concepts is the largest secured creditor of the Debtor and pursuant to the Order approving the sale of the Debtor's assets to NMWSC, its prior perfected lien has attached to the proceeds of the sale of the Debtor's assets to New Mexico Water Supply Company.
2. Counsel for the Debtor currently holds the sum of $482,634.06 as of November 30, 2006, in account number 274055821 at Bank of the West, which sum represents the proceeds of the sale of the Debtor's assets by New Mexico Water Supply Company encumber by the prior perfected lien of Capital Concepts.
3. Capital Concepts has filed an amended Proof of Claim in the amount of $549,595.74, representing principal plus accrued interest and costs during the pendency of this and related actions.
4. The claim of Capital Concepts is under-secured and this case is administratively insolvent.
IT IS THEREFORE ORDERED THAT counsel for the Debtor shall immediately disburse to Capital Concepts in care of its counsel of record all proceeds currently held in account number 274055821 at Bank of the West, said monies representing the proceeds of the sale of the Debtor's assets by New Mexico Water Supply Company.