In re Sire Plan, Inc.
| Decision Date | 28 May 1964 |
| Docket Number | No. 485-486,Docket 28901-05.,485-486 |
| Citation | 332 F.2d 497 |
| Parties | In re The SIRE PLAN, INC., LaGuardia Hotel Sire Plan, LaGuardia East Sire Plan Hotel, Inc., et al., Debtors. Albert MINTZER, Appellant, v. Lazarus JOSEPH and David I. Shivitz, Trustees, Appellees. |
| Court | U.S. Court of Appeals — Second Circuit |
Albert Mintzer, pro se.
Charles Seligson, New York City, for appellees.
Richard V. Bandler, New York City, for Securities and Exchange Commission.
Before WATERMAN, FRIENDLY and SMITH, Circuit Judges.
This appeal involves Sire Plan, Inc. and associated corporations, debtors in reorganization proceedings pursuant to Chapter X of the Bankruptcy Act.
Representing that a sale of the real property and improvements of LaGuardia Hotel and LaGuardia East would be "in the best interests of these debtors' estates, their creditors and the public investors," the Trustees of the debtors filed an application on December 23, 1963 praying for the issuance of an order to show cause why the application should not be granted. The order was issued that day for a hearing to be held on January 8, 1964, upon due notice to the attorneys for the debtors, the Securities and Exchange Commission, the lien creditors, and appellant Albert Mintzer. At the hearing no objection was raised to any proposed sale. On January 11 the court ordered the Trustees to prepare and file a report pursuant to Section 167, sub. 5 of the Bankruptcy Act, and they were directed to serve a copy of that report upon all interested parties; this being for the purpose of inviting suggestions from the parties for the formulation of a plan or plans of re-organization. They were also ordered to give notice of a hearing to be held by the court to consider offers and bids for the purchase of the above real property and improvements, and of a further hearing to consider confirmation of any offers or bids that might be so received for the properties. This order also provided for public publication of the notice.
The Trustees prepared their report and circulated it, and February 17, 1964 was designated as the time for receiving offers and bids, and hearing thereon and on the Trustees' report was set for that day. Large advertisements informing that bids were to be made on February 17 were inserted in the New York Times, New York Herald Tribune and Wall Street Journal between February 6 and February 16. At the February 17 hearing, thereafter adjourned to February 24, bids were received; and, because of the possible formulation of some plan of reorganization the hearings were again adjourned until March 5. It was then ordered that notice of all offers and bids was to be served by the Trustees on all interested parties during the period between March 16 and March 23 and notice of any proposed plans of reorganization up to March 25, the Trustees being directed to file, no later than Monday, March 30, their recommendations with respect to offers, bids or proposed plans of reorganization, and to serve notice of their recommendations upon all parties who might request the same. All papers in support or in opposition to the Trustees' recommendations were to be filed by Monday, April 6, 1964. The Trustees did report on March 30,...
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