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.




Latest Hamilton County Jail Booking Report - And Mug Shots

Here is the latest jail booking report from Hamilton County: AUSTIN, CHRISTIAN JAMES     727 E 11TH STREET CHATTANOOGA, 37402     26     Chattanooga          PUBLIC INTOXICATION BALL, CHRISTINA JEAN     1267 LEESIDE LANE HIXSON, 37343     29     Hamilton ... (click for more)

Corker Says Obama Administration’s Response To Russia’s Intervention In Ukraine Is “A Day Late And A Dollar Short”

Appearing on CNN’s “The Lead with Jake Tapper” on Friday, Senator Bob Corker said the Obama administration’s response to Russia’s intervention in Ukraine has been “a day late and a dollar short.”    “I think the administration has created this air of permissiveness,” said Senator Corker. “What we did in Syria, by jumping into Russia’s lap and letting them ... (click for more)

State Moving Forward In Educational Improvements

The State Collaborative on Reforming Education released the following statement from President and CEO Jamie Woodson regarding the 2014 legislative session in Tennessee and HB1549/SB1835, which passed the General Assembly Thursday: After a year of extensive public and legislative conversation regarding higher academic standards and related strategies to improve student learning, ... (click for more)

Roy Exum: A Nudge By Angel Kilbride

Way above us, high in the heavens, a handsome angel everybody calls Ben yelled to Saint Peter on Thursday and told him, “Better send me a couple of rubies and maybe an amethyst … Dad’s crown just got bigger.” To you such a scenario may sound silly and foolish but Bill Kilbride, a dynamic genius who has just been named as president-elect of Chattanooga’s Chamber of Commerce, knows ... (click for more)

Fowlkes' 3-Hitter Leads Collierville Past Soddy-Daisy, 7-0

Veteran coach Jeff Hopkins has a unique way of handling the Collierville High School baseball program. Rather than varsity, junior varsity and freshmen teams, Hopkins uses the labels Major League, Triple A and Double A for his Dragons squads. “The kids love it,” Hopkins said of his innovative system. “It’s like a minor-league system and our players understand that. We have ... (click for more)

Pearson, Newell Lead Silverdale Past East Hamilton

The Silverdale Baptist Academy Lady Seahawks got off on the right foot Friday morning in the first game of pool play in the 24th Annual Lady Trojan Invitational softball tournament at the Kids Park in Soddy Daisy. Despite a couple of key players being away for the day, the Lady Seahawks didn't miss a beat as they scored three runs in the first inning before getting two more in ... (click for more)