Yehud-Monosson USA, Inc. v. Fokkena, No. 11-6040 (8th Cir. 2011)
Annotate this CaseDebtor appealed the bankruptcy court's order converting its Chapter 11 bankruptcy case to one under Chapter 7. The court affirmed the order of the bankruptcy court and held that an abuse of process was an appropriate ground for conversion under 11 U.S.C. 1112(b). Moreover, debtor had had its day in court four times where debtor was substantially the same entity as Midwest Oil, an entity that the judge barred from filing pleadings or a petition in the bankruptcy court. Therefore, the bankruptcy court's finding was not erroneous.
Court Description: Bankruptcy Appellate Panel. Order converting Chapter 11 case to Chapter 7 is affirmed, as the bankruptcy court did not err in finding that the Chapter 11 filing was an abuse of process; debtor was substantially the same entity as Midwest Oil, a company that had been barred from filing a petition.
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