No. 01-16034 (AJG) Jointly AdministeredUnited States Bankruptcy Court, S.D. New York
August 26, 2002
ORDER UNDER 11 U.S.C. § 105 (a), 1103(c) AND 1109(b) AUTHORIZING OFFICIAL COMMITTEE OF UNSECURED CREDITORS TO COMMENCE ACTIONS AGAINST MICHAEL J. KOPPER AND LJM2 CAPITAL MANAGEMENT, LP ON BEHALF OF DEBTORS’ ESTATES
ARTHUR J. GONZALEZ, United States Bankruptcy Judge
Upon the emergency motion dated August 26, 2002 (the “Motion”),[1] of the Official Committee of Unsecured Creditors (the “Committee”) of Enron Corp. and its affiliated debtors and debtors in possession (collectively, the “Debtors”) in the above-captioned, jointly administered chapter 11 cases, for an order pursuant to sections 105(a), 1103(c) and 1109(b) of the Bankruptcy Code authorizing the Committee to commence litigation in respect of certain claims (the”Claims”), on behalf of the Debtors’ estates, against Michael J. Kopper (“Kopper”) and LJM2 Capital Management, LP (“LJM2”); and the Court having jurisdiction over these matters; and it appearing that because of the exigencies presented by this matter that no prior notice of the Motion could be provided to the parties in interest, and the Court hereby requires that due and adequate notice of the Motion and this Order be provided to all parties on the Service List as defined in the Amended Case Management Order Establishing, Among Other Things, Noticing Electronic Procedures, Hearing Dates, Independent Website and Alternative Methods of Participation at Hearings dated February 26, 2002; and it appearing that no other or further notice need be given; and the Debtors having consented to the relief sought in the Motion; and upon the record in these cases; and after due deliberation and sufficient cause appearing therefore, it is
ORDERED, that the Committee is hereby authorized to commence and pursue the following Claims: (i) causes of action seeking turnover of funds either held or controlled by Kopper because of Kopper’s interest in or relationship with the special purpose entities and/or the related transactions known as “RADR”, “Chewco” and “Southampton” or any similar transactions, if any, on behalf of Enron Corp. and its affiliates in the approximate amount of $12 million (the “Proceeds”); (ii) a cause of action seeking a declaration that the Proceeds are property of the Debtors’ estates and that any claim based on a breach of duties owed by Kopper, and any proceeds thereof, are property of the estate; (iii) a cause of action under the equitable doctrine of money had and received and unjust enrichment; (iv) a cause of action under the equitable doctrine of constructive trust; and (v) any other causes of action based on the same operative facts supporting the causes of action set forth in (i) through (iv) above including, without limitation, if necessary, pursuit of the Proceeds in any judicial or administrative proceeding pending with respect to the Proceeds anywhere in the United States; and it is further
ORDERED that following entry of this Order, the Committee shall provide notice of the Motion and this Order by facsimile, overnight delivery service, hand delivery, electronic mail or U.S. mail to all parties on the Service List as defined in the Amended Case Management Order Establishing, Among Other Things, Noticing Electronic Procedures, Hearing Dates, Independent Website and Alternative Methods of Participation at Hearings dated February 26, 2002; and it is further
ORDERED that any party in interest opposing the relief sought in the Motion and the entry of this Order shall have until no later than August 28, 2002 at 10:00 a.m. (N.Y. time) to file such objection, which objection shall be served so that it is received no later than 10:00 a.m. (N.Y. time) on such date by Milbank, Tweed, Hadley McCloy LLP, counsel for the Committee, 1 Chase Manhattan Plaza, New York, New York 10005, Attn: Luc A. Despins, Esq.; Weil, Gotshal Manges, LLP, counsel for the Debtors, 767 Fifth Avenue, New York, New York 10153, Attn: Martin Bienenstock, Esq.; and the United States Trustee, 33 Whitehall Street, New York, New York 10004; and it is further
ORDERED that if a timely objection is filed, a hearing will be held on such objection on August 28, 2002 at 2:00 p.m. (N.Y. time) and that the Committee shall bear the burden of justifying good cause for entry of this Order.