American Spectrum Creditors Want Removal Of Trustee They Sought Following Settlement

May 1, 2015, 9:45 PM UTC

Creditors of American Spectrum Realty Inc. asked for an operating Chapter 11 trustee, and on April 20 they got one (In re American Spectrum Realty Inc., Bankr. C.D. Cal., 15-10721, motion filed 4/29/15).

The creditors settled with the company and now they want the operating trustee removed immediately in favor of a chief restructuring officer with the powers of a chief executive.

The U.S. Trustee and the Chapter 11 trustee are opposing quick removal of the operating trustee.

The creditors had been engaged with the company in a battle for control in state court. The creditors drew ...

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