Case No. BKY 05-30073.United States Bankruptcy Court, D. Minnesota.
January 11, 2005
ORDER FOR EXPEDITED HEARING AND AUTHORIZING DEBTOR TO PAY ACCRUED AND OUTSTANDING PRE-PETITION WAGES, PAYROLL TAXES AND EMPLOYEE BENEFITS
GREGORY KISHEL, Bankruptcy Judge
The motion of the Debtor for an order for Expedited Hearing and Order Authorizing Debtor To Pay Accrued and Outstanding Pre-petition Wages, Payroll Taxes And Employee Benefits came before the undersigned on January 11, 2005. James Baillie of Fredrikson Byron, P.A. appeared on behalf of the Debtors; other appearances are noted on the record.
Based on the arguments of counsel, all the files, records and proceedings herein, the Court having been advised in the premises, and the Court’s findings of fact and conclusions of law, if any, having been stated orally and recorded in open court following the close of evidence,
IT IS HEREBY ORDERED:
1. The motion for expedited hearing is granted.
2. Debtor is hereby authorized but not required to pay accrued pre-petition wages and salaries, including applicable payroll taxes, and expense reimbursements for the Debtor’s employees in an amount up to $415,000, subject to paragraph 3 below (the “Compensation Expenses”).
3. The amounts paid and to be paid pursuant to paragraph 2, shall not exceed the priority dollar limit established by 11 U.S.C. § 507(a)(3) as to each person.
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4. Debtor is hereby authorized but not required to pay and fund other pre-petition employee benefits as set out in Exhibit A attached to the Motion and the “Medical Claims” and “Reimbursement Obligations” as defined in the Motion, the aggregate of which with the Compensation Expenses shall not exceed the priority dollar limit established by 11 U.S.C. §§ 507(a)(3) and (4) as to each employee (collectively with the Compensation Expenses, the “Approved Expenses”).
5. Debtor is hereby authorized to pay any funds withheld from employee wages as directed by the employee or on the employee’s behalf.
6. The financial institutions at which Debtor maintains payroll and operating accounts are hereby authorized to honor all instruments presented in payment of the Approved Expenses.
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