Trustee Who Won Big Judgment Against Luken Asks Lifting Of Automatic Bankruptcy Stay

Friday, June 28, 2013

The Arkansas trustee who won a $47.4 million verdict against Chattanooga TV magnate Henry Luken is asking that the automatic stay of any proceedings against Luken Communications be lifted in Bankruptcy Court.

Randy Rice noted that a "barebones" bankruptcy was filed by Luken Communications electronically on Sunday - just two days after the verdict. He said it got in just ahead of the judge who presided over the Arkansas trial listing her findings of fact and final judgment in the case. He said she had planned to do so Monday or Tuesday.

With that judgment not yet of record, trustee Rice noted that the $47.4 million verdict was not listed among the top 20 Luken Communications creditor.

But he said the bankruptcy filing cited the verdict as the reason for bringing the action.

Trustee Rice said the verdict should be allowed consideration the in Luken Communications bankruptcy, saying it came after two and a half years of litigation.

He said the judge in the case had overruled numerous attempts to get the case thrown out.

The jury found that Mr. Luken was involved in a "fraudulent transfer" when he acquired the Retro Network from Equity Media for "the firesale price" of $18.5 million. Trustee Rice said that deal came one day after Mr. Luken stepped off the board of Equity Media, which later went bankrupt itself.

Trustee Rice said the Retro Network in January 2008 was valued at between $65.9 million and $155.6 million. He said in October 2006 it was valued at $80 million by the Holt firm.

He said the Luken payout was for approximately 23 percent of the value of RTN as determined by the valuation and approximately 12 percent of the high value of RTN.

He said RTN was designed to be a television network which would air “Prime Time all the Time”, airing round-the-clock programming, including long time classics and rarely seen older series, and would be similar to TV Land or Nickelodeon’s Nick at Night.




Family Makes Treasure Trove Of Early Chattanooga Photographs Available For Book; Stokes Collection Has Been Passed Down To Descendants

A treasure trove of Chattanooga photographs that have been passed down in the Stokes family for generations has now been assembled in an upcoming book. Chattanooga Around The Turn Of The Century: The Remarkable Stokes Collection will be published by Chattanoogan.com. Pre-orders are now being taken for the book, which includes over 700 photos on large-size pages. Publisher ... (click for more)

Latest Hamilton County Jail Booking Report - And Mug Shots

Here is the latest jail booking report from Hamilton County: ABERNATHY, JERRY LOUIS     4016 DELASHMIT HIXSON, 37415     31     Red Bank          PUBLIC INTOXICATION AKRIDGE, JERTERRIUS MARSHAWN     6317 TALLEDEGA AVENUE CHATTANOOGA, 37421     20    ... (click for more)

Leaders Lead On Amendment 1

This week the Hamilton County Commission was faced with what I believe may be one of the most important votes they have cast during their tenure.  Granted, the vote was over a "mere" Resolution that resulted in no overt action or new law in our county.  But there are times when simply speaking Truth and taking a stand on a foundational Principle is paramount and as such ... (click for more)

Roy Exum: Expert Reasons Why To Vote

Early voting for the November election begins two weeks from today so please jump-start your plans that will assure your choices will be counted. In a fun-filled attempt to show what some of those who actually vote do during the rest of the day, I offer two examples of “those who live among us” from experts. The first are a series of questions from readers of “Dear Abby” who ask ... (click for more)

East Hamilton Personnel Losses Boost Other 5-AAA Hoop Teams

CLEVELAND, Tenn. – East Hamilton’s loss has been solid gains for two other basketball teams in District 5-AAA and Ringgold, Ga. One of the Hurricanes’ top players, Kenny Bunton, left the program two days after Rodney English replaced fired Michael Stone and transferred to Walker Valley where he will play for coach Bob Williams’ Mustangs. “I took the job in March and two days ... (click for more)

John Shearer: Memories Of Watching 38 Baylor-McCallie Games

Back in the fall of 1971 when I was in the sixth grade at Bright School, I listened on the radio to the exciting football game between Baylor and McCallie schools, the first since the series had been discontinued after 1940. I was hoping to attend Baylor School as a student the next year, so I was quite excited that Baylor won, 9-7.  And the next year as a seventh-grader, ... (click for more)