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Microcap & Penny Stocks : PLNI - Game Over

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From: scion8/7/2007 1:39:05 PM
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From Plasticon Doc 8-1
OCR copy

AFFIDAVIT OF ROBERT J. BROWN IN SUPPORT OF APPLICATION TO EMPLOY

The affiant, Robert J. Brown, first being duly sworn, states and deposes as follows:

1. I am a partner in the law firm of Wyatt, Tarrant & Combs, LLP, 250 West Main Street, Suite 1600, Lexington, Kentucky 40507-1746. 1 am duly admitted to practice in the state of Kentucky and in the United States Bankruptcy Court for the Eastern District of Kentucky.

2. This Affidavit is being filed in accordance with 11 U.S.C. $5 327(a) and 329 and Federal Rules of Bankruptcy Procedure 2014 and 2016 in support of the Debtor's Application to Employ Wyatt, Tarrant & Combs, LLP, as attorney for the Debtor.

3. I have conducted a review of all creditors and equity security holders, attorneys, accountants and advisors of the Debtor and its related entities. Neither I, nor any attorney at the law firm of Wyatt, Tarrant & Combs, LLP, appears to have any connection with the Debtor, creditors, equity security holders, attorneys, accountants, advisors or any other party in interest in the Debtor's Chapter 11 case, except as follows:

(a) Wyatt, Tarrant & Combs, LLP, previously provided legal representation on behalf of the Debtor or its affiliates in connection with the following matters:

(i) Promotional Containers. Inc. v. Concrete Associates. Inc.. United States District Court. Eastern District of Kentucky. Case No. 5:04-CV-335. a patent infringement issue.

(ii) Promotional Containers, Inc. v. Aztec Concrete Associates. Inc., United States District Court, Eastern District of Kentucky, Case No. 5:04-CV-336, a patent infringement issue.

(iii) Promotional Containers, Inc. v. General Technologies, &, United States District Court, Eastern District of Kentucky, Case No. 5:04-CV-334, a patent infringement issue.

(iv) International Plastics Corp. v. Michael. et al., United States District Court, Eastern District of Kentucky, Case No. 5:06-CV-223, a contract dispute.

(v) Supply contract dispute against BlueLinx Corporation, not in litigation.

(b) Wyatt, Tarrant & Combs, LLP, has represented certain creditors of the debtor or its affiliates in unrelated matters, all of which are completed. Those creditors include AIG (American International Group), Anthem Blue Cross Blue Shield, All Points Capital Corp., Regions Morgan Keegan Trust, United Parcel Service, Automatic Data Processing, and Central Bank & Trust Co. None of such creditors has paid a significant portion of the firm's revenue at any time.

(c) Wyatt, Tarrant & Combs, LLP, has represented James N. Turek, Sr., who has waived any conflict which might appear from the firm's representation of the entities he controls. The firm will not represent Mr. Turek's interests as a creditor herein.

4. As of May 14, 2007, Plasticon International, Inc. had incurred fees and expenses for representation provided by Wyatt, Tarrant & Combs, LLP, in the amount of $676.50 for
current invoices for services since April 1, 2007 through April 30, 2007, and in the amount of $47,931.11 for services delivered prior to April 1, 2007. Plasticon made payment for the $676.50 current charges on May 15,2007. Wyatt, Tarrant & Combs, LLP, has agreed to forgive all other entitlements and write off the remaining fees and expenses in the approximate amount of $47,255.61.

5. Wyatt, Tarrant & Combs, LLP, does not represent or hold any interest adverse to that of the Debtor or the Debtor's estate in the matters upon which the Debtor seeks to retain Wyatt, Tarrant & Combs, LLP. Wyatt, Tarrant & Combs, LLP, is a "disinterested person" within the meaning of 11 U.S.C. 3 101.

6. Neither I, nor any other attorney at Wyatt, Tarrant & Combs, LLP, are connected in any way with any bankruptcy judge of the Eastern District of Kentucky or the U.S. Trustee or any assistant U.S. Trustee assigned to this Chapter 11 case so as to render the appointment of Robert J. Brown and/or Wyatt. Tarrant & Combs, LLP, improper pursuant to Federal Rule of Bankruptcy Procedure 5002.

Statement of 6 329 Compensation

7. As of the date of filing of this Affidavit the Debtor and its subsidiary, Pro Mold, Inc., have paid Wyatt, Tarrant & Combs, LLP, the sum of $20,738.75 in fees and $1,534.14 in
costs in connection with the preparation of these bankruptcy cases plus the sum of $2,078 for the Chapter 11 filing fee for two (2) Chapter 11 cases. Wyatt, Tarrant & Combs, LLP, has received no other fees thus far in connection with its bankruptcy representation of the Debtor other than those disclosed herein. Wyatt, Tarrant & Combs, LLP, is holding a retainer in the amount of $55,658.22. The source of said compensation is operational income of Plasticon International, Inc.

8. In anticipation of the Court's approval of Debtor's Motion for Joint Administration and Procedural Consolidation, proposed counsel has not allocated the cost of petition preparation and retainer between Plasticon and Pro Mold.

9. The Debtor has agreed to pay, and Wyatt, Tarrant & Comhs, LLP, intends to apply for, compensation for professional services rendered herein in connection with the Debtor's Chapter 11 case and for reimbursement of expenses incurred in this matter. The current hourly rate for attorney Robert J. Brown is $375; attorney Ellen B. Vergos is $315 per hour; attorney John P. Brice is $305 per hour; and attorney Daniel E. Hitchcock is $200 per hour. The current hourly rate for paralegal Elizabeth Boggs is $145 and paralegal Patricia West is $145 per hour. No charges will be made for clerical services. Out of pocket expenses will he incurred at the firm's usual rates.

Non-Sharing Statement Under 11 U.S.C. 6 504

10. Pursuant to Federal Rule of Bankruptcy Procedure 2016(b) and 11 U.S.C. 5 504, Wyatt, Tarrant & Combs, LLP, has not shared or entered into any agreements to share compensation or reimbursement received under 11 U.S.C. 9: 503(b)(2) or 5 503 (b)(4), except as otherwise allowed under 11 U.S.C. 5 504(b).

Respectfully submitted,

IS/ Robert J. Brown
RobertJ.Brown
WYATT, TARRANT & COMBS, LLP,
250 West Main Street, Suite 1600
Lexington, KY 40507
Telephone: (859) 233-2012
Facsimile: (859) 259-0649
E-mail: Lexbankruptcy@wyattfirm.com

COMMONWEALTH OF KENTUCKY
ss
COUNTY OF FAYETTE
The foregoing instrument was acknowledged before me this 17th day of May, 2007, by
Robert J. Brown.
My commission...
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