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GENERAL43723
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Last modified
8/24/2016 8:12:33 PM
Creation date
11/23/2007 12:36:54 PM
Metadata
Fields
Template:
DRMS Permit Index
Permit No
C1981041
IBM Index Class Name
General Documents
Doc Name
US BANKRUPTCY COURT DMG OBJECTION TO THE LENDERS MOTION FOR ADEQUATE PROTECTION AND FOR RELIEF
Permit Index Doc Type
GENERAL CORRESPONDENCE
Media Type
D
Archive
No
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<br />In their Motion for Adequate Protection and Relief From <br />Stay, the Lenders seek to force the taxpayers of Colorado to <br />pay for reclamation in Colorado which will preserve the value <br />of the Lenders' collateral in Ohio, by forestalling a chain of <br />events which would block the Debtor Harrison Mining from <br />revising or amending its Ohio permits on the profitable Ohio <br />mines that are a major element of the Lenders' collateral <br />package. This Court should not allow such a result. <br />"[Section] 506(c) is grounded in the equitable principle that <br />a secured creditor should not enjoy a windfall at the expense <br />of the claimant." In re Guterl Special Steel Corp., 198 B.R. <br />128, 136 (Bankr.W.D.Pa.1996) (citing In re Visual Industries <br />Inc., 57 F.3d 321, 324-25 (3d Cir. 1995). <br />POINT IV <br />The Lenders Are Proposing a De Facto Abandonment of the <br />Powderhorn Site, And They Have Not Met the Standards for <br />Abandoning a Contaminated Site <br />The practical effect of allowing the Lenders to receive <br />the proceeds of the sale of the Machinery and Equipment is to <br />strip the Powderhorn estate of most of its salable, valuable <br />assets. All that will remain in the Powderhorn estate is the <br />unreclaimed real property, which presents significant and <br />immediate hazards to public health and safety. Although there <br />26 <br />
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