IN RE LILES, (Bankr.E.D.Tex. 2003)

CASE NOS. 01-32922-S, 02-43315-S, 02-42834-S.United States Bankruptcy Court, E.D. Texas, Sherman Division.
April 30, 2003

MEMORANDUM OPINION
DONALD R. SHARP, United States Bankruptcy Judge

Now before the Court are numerous Objections To Debtors’ Counsel’s Fees filed by Janna Countryman, the Standing Chapter 13 Trustee in these cases (the “Trustee”). This opinion constitutes the Court’s findings of fact and conclusions of law required by Fed.R.Bankr.Proc. 7052 and disposes of all issues before the Court.

FACTUAL AND PROCEDURAL BACKGROUND
The matters originally came on for hearing in the Liles (01-32922), Lamar (02-42834), and Allen (02-43315) cases. The matters came before the Court in these cases in a confirmation posture. The Standing Chapter Trustee objected to confirmation of the Debtors’ respective plans of reorganization on the basis that all of the respective debtors’ disposable income in each case was not dedicated to payment of the plan as contemplated under the Bankruptcy Code in those instances when a debtor’s funds were used to pay post-petition payments to Robert E. Barron and Robert E. Barron, P.C. (“Barron”). The Court determined that the actual dispute is another of the seemingly endless controversies between the Chapter 13 Trustee and Robert Barron’s law firm over the proper handling of fees. In short, the sole controversy is Barron’s handling of initial payments received from Chapter 13 Debtors and post-petition payments made by Chapter 13 Debtors prior to confirmation of the plan. Since the practice that the Standing Chapter 13 Trustee objected to was common in Mr. Barron’s office the same objection arose in virtually every case in which he represented Chapter 13 Debtors. The Court severed this issue from all other issues in connection with confirmation on all similarly situated cases and set a special hearing date at which this issue could be litigated by the parties. Following a full trial on the merits of the attorneys’ fees issue, at which the parties were present and represented by counsel, the Court took the matter(s) under advisement. Additional cases were added thereafter, but the essential parties, being Barron and the objecting Chapter 13 Trustee, remain identical on this particular issue.[1]

DISCUSSION
Barron is an attorney certified in Consumer Bankruptcy Law by the Texas Board of Legal Specialization; he is admitted to practice before the Federal District and Bankruptcy Courts for the Eastern District of Texas. Barron appears before this Court regularly representing Chapter 13 and Chapter 7 debtors and has been in practice for longer than twenty years. In most Chapter 13 cases, Barron charges debtors a total fee of $2000.[2] He testified that this normally consists of a $500. pre-petition payment with the remainder of the sum or $1500. being paid through the Chapter 13 Plan. He also testified that in some cases the $500. down payment may vary but that in any event the pre-petition payment plus the amount to be paid through the plan normally totals $2000. He further testified that, during the pendency of the case, he is frequently called upon to defend actions brought against the Debtor such as Motions to Lift Stay, Objections to Exemption or any other matter that may arise pre-confirmation. Usually in those cases he requires the Debtors to pay some amount before he files responsive pleading and defends the action. He then makes the judgment when the Plan comes on for confirmation as to whether he wants to reduce the previously agreed upon amount to be paid through the Plan by the amounts already received or whether he wants to file a detailed fee application and seek funds in addition to $2000. Almost without exception, the amount to be paid through the plan is reduced to bring the total fee to the $2000. figure.

The Standing Chapter 13 Trustee does not object to the amount of the fees charged but she objects to the pre-confirmation fees charged to Debtors, being treated as an earned fee by the Debtors’ counsel. She argues that failure to hold those funds in a trust account until the order of confirmation is signed means they were received by Barron without Court approval in violation of Local Rule 2016(b).[3] The Trustee urges the Court to enter an order denying Barron the fees so obtained and to order Barron to disgorge such fees.[4]

Barron and the Trustee entered a Joint Stipulation of The Parties on December 3, 2002 (“Stipulation”), the date of the trial on the merits; appended to the Stipulation is an itemized list of payments that Barron received both pre- and post-petition as fees. Barron testified at trial, that he does not maintain an IOLTA account or any kind of trust account, and that none of the sums were deposited into an IOLTA account.[5] Barron stipulated that he does not maintain a system of keeping contemporaneous time records of time spent on his professional activities for his clients, whether of his time spent or of time spent by any other lawyer or legal assistant in his office performing services for bankruptcy clients. The types of activities for which Barron charged and accepted fees post-petition include, but are not limited to, responding to creditors’ motions to lift the automatic stay, change of address notices filed with the Court adding creditors’ names and addresses to the matrices, filing modified plans of reorganization, litigating or filing pleadings with respect to motions to convert and resetting creditors’ section 341 meetings.

Segregation of any funds, that are property of the client which includes retainers until they are earned, has been required of attorneys by the State Bar of Texas since July 1, 1989, applicable here pursuant to Local Rule AT-2 of the Local Rules of the U.S. District Court for the Eastern District of Texas[6] and Local Bankruptcy Court Rule 1001(c)(1) [“The District Court Rules govern attorney admission, discipline, and disbarment in the Bankruptcy Court . . .”] and V.T.C.A., Govt. Code T. 2, Subt. G App. A, Art. 10, §§ 9, Rule 1.14.

V.T.C.A., Govt. Code T. 2, Subt. G App. A, Art. 10, §§ 9, Rule 1.14 entitled “Safekeeping Property” — requires as follows:

(a) A lawyer shall hold funds and other property belonging in whole or in part to clients or third persons that are in a lawyer’s possession in connection with a representation separate from the lawyer’s own property. Such funds shall be kept in a separate account, designated as a “trust” or “escrow” account, maintained in the state where the lawyer’s office is situated, or elsewhere with the consent of the client or third person. Other client property shall be identified as such and appropriately safeguarded. Complete records of such account funds and other property shall be kept by the lawyer and shall be preserved for a period of five years after termination of the representation.
(b) Upon receiving funds or other property in which a client or third person has an interest, a lawyer shall promptly notify the client or third person. Except as stated in this rule or otherwise permitted by law or by agreement with the client, a lawyer shall promptly deliver to the client or third person any funds or other property that the client or third person is entitled to receive and, upon request by the client or third person, shall promptly render a full accounting regarding such property.
(c) When in the course of representation a lawyer is in possession of funds or other property in which both the lawyer and other person claim interests, the property shall be kept separate by the lawyer until there is an accounting and severance of their interest. All funds in a trust or escrow account shall be disbursed only to those persons entitled to receive them by virtue of the representation or by law. If a dispute arises concerning their respective interests, the portion in dispute shall be kept separated by the lawyer until the dispute is resolved, and the undisputed portion shall be distributed appropriately.

Texas Disciplinary Rules of Professional Conduct. V.T.C.A., Govt. Code T. 2, Subt. G App. A, Art. 10, §§ 9, Rule 1.14.

The Courts have made it abundantly clear that all Texas attorneys and law firms receiving client funds that are short term or nominal in amount are required to place those funds in interest bearing trust accounts, with the interest payable directly to the Texas Equal Access to Justice Foundation subject to sanction under the IOLTA rules. Failure to do so subjects an attorney to sanctions. Paulsen v. Texas Equal Access to Justice Foundation, 23 S.W.3d 42 (Tex.App.-Austin Dec 02, 1999) (NO. 03-98-00709-CV), rehearing overruled (Mar 23, 2000), review dismissed (Jan 18, 2001), order withdrawn (Apr 26, 2001), review denied (Apr 26, 2001), rehearing of petition for review denied (Apr 26, 2001).

To the Trustee’s allegations regarding violations involving “retainers” Barron’s defense was that the fees he received were not retainers. The argument fails. It is not Barron’s role to define retainer. The Trustee’s Brief discussed several nuances of “retainer” as compared to “true retainer” relying upon the Supreme Court of Texas Professional Ethics Committee’s Opinions. While helpful as guidance, this Court adopts the plain meaning rule in interpreting rules. See Business Guides, Inc. v. Chromatic Communications Enters., 498 U.S. 533, 540, 111 S.Ct. 922, 927-28, 112 L.Ed.2d 1140 (1991) (interpreting Federal Rules of Civil Procedure); Pavelic LeFlore v. Marvel Entertainment Group, 493 U.S. 120, 123, 110 S.Ct. 456, 458, 107 L.Ed.2d 438 (1989) (same). This Court refers to “retainers” in Local Rule 2016(b) and, quite simply, requires any court authorized professional to deposit a retainer received for the benefit of the Debtor in a trust or an IOLTA account. It further requires that retainer to remain in the account until the Court enters an order allowing removal. Since no court approved professional is entitled to be paid his fees until those fees have been approved by the Court it necessarily follows that any funds placed with the attorney do not become the attorney’s funds until the Court has approved the fees, which is typically done as an integral part of the confirmation order. Until that approval is received the funds are still the Debtor’s funds placed with the attorney to secure legal services.

The evidence is unequivocal that Barron has ignored the Texas Code, the Texas Rules of Professional Conduct, the Local Rules of this Court and the rules promulgated by the U.S. Eastern District Court. Barron has violated these rules by not placing any of the retainers the Debtors paid him in a trust or IOLTA account. Barron has violated L.R. 2016(e)(4) by withdrawing all retainers paid by Debtors without Court approval. Barron has violated L.R. 2016(e)(5) by taking post-petition fees directly from the Debtors or from Debtors’ agents rather than through the plan or as an administrative expense. Barron has violated the rules requiring candor and disclosure due this Court with respect to his handling of fees.

In addition, Barron’s conduct with respect to post-petition fees constitutes unauthorized transfers of estate property as defined under 11 U.S.C. § 1306 to an attorney absent proper notice and hearing. 11 U.S.C. § 363(b)(1). See In re Mayeaux, 269 B.R. 614, 626
(Bkrtcy. E.D. Tex. 2001). The Trustee correctly noted that the payment of post-petition retainers from debtors’ earnings also circumvents 11 U.S.C. § 1325(b).

CONCLUSION
Based upon the record, the evidence and the argument of counsel in these matters, this Court both finds as fact and concludes as a matter of law, that Barron violated the Bankruptcy Code with respect to transfers of estate property and violated the Texas Code, the Texas Rules of Professional Conduct, the Local Bankruptcy Rules for the Eastern District of Texas and the Local Rules promulgated by the U.S. District Court for the Eastern District of Texas. Additionally, the Court finds based upon the testimony of Robert E. Barron, that such violations were willful and knowing violations of the aforementioned rules. Therefore, sanctions are appropriate, including disallowance of such fees and disgorgement of all fees identified in the Joint Stipulation or similarly handled. An order will be entered accordingly.

SCHEDULE A
IN RE:

MARVIN L. MURRY, JR. CASE NO. 02-10258 DEBTOR

DEBORAH K. MCGINTY SONNIER CASE NO. 02-10455 DEBTOR

RANDALL T. GARTMAN AND CASE NO. 02-10457 BRIDGETT A. GARTMAN DEBTORS

JASON D. BROOKS CASE NO. 02-10545 DEBTOR

OVIDIO LOZANO CASE NO. 02-10671 DEBTOR

RANDALL C. SHOFNER CASE NO. 02-10743 DEBTOR

DEXTER D. PEGUES CASE NO. 02-10913 DEBTOR

MARIA T. ZAMORA CASE NO. 02-10918 DEBTOR

KEVIN B TURNER AND CASE NO. 02-11176 VONDA N. TURNER DEBTORS

KRISTOPHER W. BARRETT AND CASE NO. 02-11220 SARAH R. BARRETT DEBTORS

JAMES D. MCNARY AND CASE NO. 02-11350 MARY A. MISHOE DEBTORS

DONNA J. GREEN CASE NO. 02-11437 DEBTOR

JERE D. FINDLEY AND CASE NO. 02-11453 KATHERINE A. FINDLEY DEBTORS

SHARON A. HUSS CASE NO. 02-11454 DEBTOR

VICTOR A. HUTCHINSON AND CASE NO. 02-32038 DEANNA L. HUTCHINSON DEBTORS

JON I. PERCY AND CASE NO. 02-32132 KATHY N. PERCY DEBTORS

JOHN R. VANWINKLE AND CASE NO. 02-42028 MARTHA L. VANWINKLE DEBTORS

FLOYD T. WASHINGTON AND CASE NO. 02-42029 MARY A. WASHINGTON DEBTORS

JAMES W. JONES AND CASE NO. 02-42040 LISA A. JONES DEBTORS

STEVEN M. LOCKHART AND CASE NO. 02-42055 KIM E. LOCKHART DEBTORS

CARLOS J. MENDEZ CASE NO. 02-42133 DEBTOR

GEORGE HUNTER CASE NO. 02-42134 DEBTOR

CHARLES D. LEE AND CASE NO. 02-42135 LISA D. LEE DEBTORS

JENNIFER J. HELT CASE NO. 02-42151 DEBTOR

LARRY J. LONG AND CASE NO. 02-42205 JANE V. LONG DEBTORS

PHILLIP SMITHWICK AND CASE NO. 02-42282 LESLIE SMITHWICK DEBTORS

TERRY L. ROBERTSON AND CASE NO. 02-42359 JULIE A. ROBERTSON DEBTORS

JOE JOHNSON CASE NO. 02-42363 DEBTOR

MICHAEL R. DAVIS CASE NO. 02-42381 DEBTOR

TRAVIS CLEGHORN AND CASE NO. 02-42432 KATHY CLEGHORN DEBTORS

CLETE A. BURNS AND CASE NO. 02-42439 PAMELA G. BURNS DEBTORS

JAMES A. CALAMS AND CASE NO. 02-42440 D’ANN C. CALAMS DEBTORS

JUAN C. PANADO CASE NO. 02-42496 DEBTOR

YVONNE R. DODD CASE NO. 02-42497 DEBTOR

TONY L. LOVE CASE NO. 02-42498 DEBTOR

JOHNNY CAMPBELL AND CASE NO. 02-42524 LYNN CAMPBELL DEBTORS

DENISE D. JARMON CASE NO. 02-42526 DEBTOR

MARC E. COOPER AND CASE NO. 02-42527 CHARAN G. COOPER DEBTORS

TROY R. JACOBS CASE NO. 02-42529 DEBTOR

RICKY M. FARRIS AND CASE NO. 02-42629 LILLIAN FARRIS DEBTORS

YOLANDA R. MICKENS CASE NO. 02-42649 DEBTOR

GERALD R. HALL CASE NO. 02-42759 DEBTOR

PRESTON E. LEETH AND CASE NO. 02-42761 CATHY D. LEETH DEBTORS

HORACE L. BROWN AND CASE NO. 02-42831 LISA M. BROWN DEBTORS

JEFFERY T. DOWELL CASE NO. 02-42832 DEBTOR

KAREN S. LAMAR CASE NO. 02-42834 DEBTOR

STEPHANIE M. LEE CASE NO. 02-42841 DEBTOR

DENISE C. MCKINNEY CASE NO. 02-42856 DEBTOR

JERRY WORDLAW AND CASE NO. 02-42960 VALERIE WORDLAW DEBTORS

REGINALD E. MICKENS AND CASE NO. 02-42961 SIMONE R. MICKENS DEBTORS

GREGORY A. HAYNES CASE NO. 02-42963 DEBTOR

MICHELLE BARNES CASE NO. 02-42967 DEBTOR

CHRISTI S. WYATT CASE NO. 02-42984 DEBTOR

PAUL F. VOORHEIS AND CASE NO. 02-43040 KIM C. VOORHEIS DEBTORS

RONNIE B. HEBEL CASE NO. 02-43041 DEBTOR

HOLLIE R. CHAPMAN CASE NO. 02-43064 DEBTOR

CHRIS A. BENOIT CASE NO. 02-43080 DEBTOR

CLARENCE A. HILL AND CASE NO. 02-43081 PEGGY S. HILL DEBTOR

JOHNNIE M. PETTIS CASE NO. 02-43101 DEBTOR

ARCHIE B. SMITH CASE NO. 02-43137 DEBTOR

MICHAEL R. KALINICH CASE NO. 02-43138 THERESA MOODY-KALINICH DEBTORS

CONNIE J. BOHANNON CASE NO. 02-43237 DEBTOR

PATRICIA ALLEN CASE NO. 02-43315 DEBTOR

LAURIE M. NICHOLS CASE NO. 02-43347 DEBTOR

JANIE C. SICHLING CASE NO. 02-43375 DEBTOR

LONNY R. BRITTEN AND CASE NO. 02-43425 LISA A. BRITTEN DEBTORS

OCIE B. STONE CASE NO. 02-43514 JANET K. STONE DEBTORS

WALTER E. TUMEY, JR. CASE NO. 02-43561 SUSAN R. TUMEY DEBTORS

BRIAN C. DAVIS CASE NO. 02-43562 LORIE G. DAVIS DEBTORS

CHARLES R. CLARK, SR. CASE NO. 02-43587 ELIZABETH J. CLARK DEBTORS

JOYCE F. MORGAN CASE NO. 02-43641 DEBTOR

GARY W. FOSTER CASE NO. 02-43643 SUSAN D. FOSTER DEBTORS

JOSEPH E. GRANT, JR. CASE NO. 02-43675 DEBTOR

ALOIS T. WILLIAMS CASE NO. 02-43719 DEBTOR

DAVID W. PANNELL CASE NO. 02-43800 ROXANNE G. PANNELL DEBTORS

DAVID DIXON CASE NO. 02-43803 DEBTOR

FELIPE I. CELIS CASE NO. 02-43857 ELLIE M. CELIS DEBTORS

FRANK R. HEALD CASE NO. 02-43888 DEBTOR

BRANDON R. SIMPSON CASE NO. 02-43910 NATALIE N. SIMPSON DEBTORS

ADAM SUMII CASE NO. 02-44016 DEBTOR

ADRIAN D. DAVIS CASE NO. 02-44051 DEBTOR

JESSICA N. WILLIAMS CASE NO. 02-44052 DEBTOR

ROBERT J. FLYNN CASE NO. 02-44054 PAULINA K. FLYNN DEBTORS

JILL CARTER CASE NO. 02-44070 DEBTOR

SUSAN K. JACKSON CASE NO. 02-44090 DEBTOR

STEPHEN D. MCKIDDY CASE NO. 02-44091 ROBERTA K. MCKIDDY DEBTORS

JEFFREY J. CASTILLO CASE NO. 02-44092 DEBTOR

ELVA R. BENNETT CASE NO. 02-44142 DEBTOR

NANCY L. MURRELL CASE NO. 02-44143 DEBTOR

PAMELA K. MCGEE CASE NO. 02-44191 DEBTOR

GLADYS I. CONINE CASE NO. 02-44192 DEBTOR

SHARON R. PRICE CASE NO. 02-44233 DEBTOR

NANCY K. ELLER CASE NO. 02-44278 DEBTOR

JOHNNY L. RUNNELS CASE NO. 02-44279 DEBTOR

ROBERT A. SANCHEZ CASE NO. 02-44282 EUNICE SANCHEZ DEBTORS

MICHAEL D. ROSSER CASE NO. 02-44284 STACEY C. ROSSER DEBTORS

CARLOS L. HOOD CASE NO. 02-44288 SHAMIANKA HOOD DEBTORS

JOHN T. ASHTON CASE NO. 02-44292 DEBTOR

STEVE W. THORNHILL CASE NO. 02-44373 DEBTOR

ALFREDA L. SCOTT CASE NO. 02-44375 DEBTOR

AMBER S. GUSTAFSON CASE NO. 02-44425 DEBTOR

CHARLES M. STONE CASE NO. 02-44486 VICKI I. STONE DEBTORS

GREGORY A. COLLINS CASE NO. 02-44488 PAULA D. COLLINS DEBTORS

TOMMY L. PATTERSON CASE NO. 02-44489 TERESA A. PATTERSON DEBTORS

DAVID R. ESCOBAR CASE NO. 02-44490 REBECCA A. ESCOBAR DEBTORS

MICHAEL C. JONES CASE NO. 02-44518 BETTYE D. JONES DEBTORS

JOHNNY R. SMITH CASE NO. 02-44549 DEBTOR

ALICIA M. DODGE CASE NO. 02-44550 DEBTOR

BOBBY G. WILLIAMS CASE NO. 02-44632 DEBTOR

EVA S. MUENTES CASE NO. 02-44641 DEBTOR

PHILLIP B HUMPHRIES CASE NO. 02-44649 DEBTOR

RAYMOND GREEN CASE NO. 02-44664 DEBTOR

MARGARET DEVITT-MORGAN CASE NO. 02-44665 DEBTOR

EZEQUIEL LINAREZ, III CASE NO. 02-44714 DEBTOR

JESSICA D. BILANO CASE NO. 02-44787 DEBTOR

CHARLES SWANSON CASE NO. 02-44789 JENNIFER LOCHABAY DEBTORS

REGINALD DAVIS CASE NO. 02-44791 CHANEL DAVIS DEBTORS

TERRY O. MCKENNON CASE NO. 02-44794 SHELLEY D. MCKENNON DEBTORS

DAVID J. NIBBELIN CASE NO. 02-44806 STACEY A. NIBBELIN DEBTORS

NORMAN MILCHERSKA CASE NO. 02-44807 LAURIE MILCHERSKA DEBTORS

CHESTER E. WORTHAM CASE NO. 02-44869 MARY H. WORTHAM DEBTORS

ANTHONY L. FRAZIER CASE NO. 02-44881 DEBTOR

JOHN T. ADDICKS, JR. CASE NO. 02-44986 DALAL A. ADDICKS DEBTORS

DANIEL C. MCINTYRE CASE NO. 02-45005 VIVIAN J. MCINTYRE DEBTORS

JOSE L. BAIZ CASE NO. 02-45037 FRANCIS T. BAIZ DEBTORS

BRENDA L. BURNETT CASE NO. 02-45101 DEBTOR

LISA A. GRISSOM CASE NO. 02-45152 DEBTOR

RICARDO M. MENDOZA CASE NO. 02-45198 ROSE M. MENDOZA DEBTORS

RAYMOND SHAHAN CASE NO. 02-45199 BARBARA SHAHAN DEBTORS

RICHARD H. ELLIS, III CASE NO. 02-45216 KIMBERLY A. ELLIS DEBTORS

SHARON R. FRAZIER CASE NO. 02-45222 DEBTOR

RUSSELL W. ORTH CASE NO. 02-45247 KIM T. ORTH DEBTORS

ROBERT BURR CASE NO. 02-45257 DEBBY MCFARLAND DEBTORS

BILLIE M. COOPER CASE NO. 02-45297 DEBTOR

GEORGE SADDLER CASE NO. 02-45298 PATRICIA SADDLER DEBTORS

DOUGLAS S. MARQUETTE CASE NO. 02-45354 JANE A. MARQUETTE DEBTORS

RANDY R. DEMASTERS CASE NO. 02-45362 STEPHANIE D. DEMASTERS DEBTORS

ROBIN R. DYER CASE NO. 02-45363 STACEY H. DYER DEBTORS

JUDY B. HARROLD CASE NO. 02-45375 DEBTOR

ROGER G. PADILLA, JR. CASE NO. 02-45394 DELMA A. PADILLA DEBTORS

MARK D. KNOWLES CASE NO. 02-45448 PATRICIA L. KNOWLES DEBTORS

FRANK E. PRATT, JR. CASE NO. 02-45449 FAYE E. PRATT DEBTORS

LESLIE T. HOLLAND CASE NO. 02-45457 DEBTOR

KEVIN S. SUTTON CASE NO. 02-45473 DEBTOR

ALFRED R. THOMPSON CASE NO. 02-45495 CINDY S. THOMPSON DEBTORS

WILLIAM S. FAIL CASE NO. 02-45515 NORMA J. FAIL DEBTORS

CATHERINE G LANSDALE CASE NO. 02-45516 DEBTOR

KENNETH D. THOMAS CASE NO. 02-45524 DEBTOR

WILLIAM L. MOORE CASE NO. 02-45559 KIMBERLY B. MOORE DEBTORS

JIMMY R. CLAYTON CASE NO. 02-45565 SANDRA J. CLAYTON DEBTORS

WILLIAM THOMAS CASE NO. 02-45716 MISTY F. THOMAS DEBTORS

BENJAMIN P. LAFLEUR CASE NO. 02-45736 DEBTOR

ROBERT G. ELLISON CASE NO. 01-41929 SHARON I. ELLISON DEBTORS

WAYNE A. TULLOS CASE NO. 01-42235 DEBTOR

OTIS FLOYD AND CASE NO. 01-44011 MONICA L. FLOYD DEBTORS

TONY H MORROW CASE NO. 01-44373 WANDA L. MORROW DEBTORS

RALPH A. MOORE AND CASE NO. 01-44699 MONICA Q. MOORE DEBTORS

TOD E. KEMBLE CASE NO. 01-44810 DEBTOR

SHARON MARSH CASE NO. 01-45008 DEBTOR

KELLY G. DENHAM AND CASE NO. 01-45148 SANDRA D. DENHAM DEBTORS

GLEN P. KALETTA AND CASE NO. 01-45326 SUZANNE R. KALETTA DEBTORS

GERALD G. PAYNE AND CASE NO. 01-45374 MARINEA J. PAYNE DEBTORS

RUSSELL L. JOHNSON AND CASE NO. 01-45409 JANICE G. JOHNSON DEBTORS

EPHRAIM JARAMILLO CASE NO. 00-42555 DELIA G. JARAMILLO DEBTORS

JOHN HARBIN CASE NO. 98-41291 DEBTOR

KERMIT L. FITZPATRICK CASE NO. 99-43469 ANNA M FITZPATRICK DEBTORS