Which partner did not reveal that he "held an equity position in Debtor"? When and why were the shares considered "virtually worthless" by Wyatt, Tarrant & Combs, LLP?
Brown filed an affidavit in May 2007 saying,"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:... "
In Aug 2007 who made "the discovery that a partner in the firm of Wyatt, Tarrant & Combs, LLP, held an equity position in Debtor"?
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12. As described in the Motion by Wyatt, Tarrant & Combs, LLP, to Withdraw From Representation of Debtor filed contemporaneously with this Application an event occurred which caused Applicant to suggest that Debtor obtain replacement counsel. That event was the discovery that a partner in the firm of Wyatt, Tarrant & Combs, LLP, held an equity position in Debtor.
13. The value of the partner’s stock was virtually worthless and his ownership did not necessarily disqualify Wyatt, Tarrant & Combs, LLP, from representation of Debtor. See In re Timbers, Inc., 187 B.R. 240 (Bankr. W.D. Tenn. 1995). Nevertheless, it was determined that the creation of prophylactic measures to wall off that partner was not justified by the representation and a decision was made to advise Debtor to obtain replacement counsel.
Doc 281
IN RE:
PLASTICON INTERNATIONAL, INC.
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FINAL APPLICATION OF WYATT, TARRANT & COMBS, LLP, FOR ALLOWANCE OF PROFESSIONAL FEES AND REIMBURSEMENT OF EXPENSES
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:
From Plasticon Doc 8-1
AFFIDAVIT OF ROBERT J. BROWN IN SUPPORT OF APPLICATION TO EMPLOY
The foregoing instrument was acknowledged before me this 17th day of May, 2007, by
Robert J. BROWN.
Message 23781802
Conflict of interest: Buried in Pro Mold Doc 213 is this statement –
In August 2007, this firm learned of a conflict of interest in its representation of Pro Mold’s parent, Plasticon.
Pro Mold Doc 213
3.2.1 Administrative Claims
The Administrative Claims as defined in the Plan are fees due to the Office of United States Trustee under Section 1930 of title 28 of the United States Code, and compensation and expenses due to the law firms and other professionals retained by the Debtor pursuant to orders of the Bankruptcy Court. Specifically, Robert J. BROWN of the law firm of Wyatt, Tarrant and Combs LLC was retained by the Debtor to represent it in this Chapter 11 Case. In August 2007, this firm learned of a conflict of interest in its representation of Pro Mold’s parent, Plasticon. Accordingly, pursuant to Order of the Bankruptcy Court, Pro Mold engaged Ellen Arvin Kennedy and the law firm of Fowler Measle & Bell to represent it in this Chaper 11 Case. |
