1993-08-06_GENERAL DOCUMENTS - C1981017 ‎(2)‎

• Permit No: C1981017
• IBM Index Class Name: GENERAL DOCUMENTS
• Doc Date: 8/6/1993
• Doc Name: Case No. 92 11658 ‎(PAC)‎
• From: Winston & Strawn
• To: Holden & Jessop
• Permit Index Doc Type: General Correspondence
• Media Type: D
• Archive: No

WINSTON & STRAWN
James D. golden, Esq.
August 6, 1293
Page 3
I
(7) Paragraph 3.1 provides that Class 1, Property
Taxes, shall retain their liens and will ultimately be paid out
of the Creditors' Trust when the properties are sold. You have
suggested that the Property Taxes be compromised by as such as
50% based on the fact that the properties could not be sold at
tax sales and that the County has an interest in having the lard
reclaimed. Please advise us of the status of these negotiations.
(8) Paragraph 7.1 provides for certain releases by and
between Class 9, Minerals and its corporate affiliates and
subsidiaries, Sanwa, and their respective officers, directors,
agents and employees. we should also obtain releases from
appropriate governmental agencies vith respect to reclamation and
environmental claims, other general unsecured creditors (Classes
7 and 8) , and particularly the Colorado Compensation Insurance
fund. Can the two-thirds in amount necessary to effect the
releases be obtained if the Colorado compensation Insurance Fund
rejects the Plan?
(9) Paragraph 6.4.4 provides that the Environmental
Trust will be administered by the Debtor who will be reimbursed
for actual, necessary costs and expenses of environmental
resediation. Paragraph 6.2.5 provides a trustee for the
Creditors' Trust, but does not address the issue of Trust
administration. Now is this trust to be administered?
(10) Paragraphs 6.3.6 and 6.4.3 provide that excess
funds in the Reclamation Account and Environmental Trust shall
revert to the creditors' Trust. The reversion should be
scheduled to occur on a date certain following a reasonable time
to complete the reclamation and environmental remediation.
(11) In your letter of July 8, 1993, you stated that
the State wants the Reclamation Account treated as a forfeited
bond. If treated as a forfeited bond, could there ever be a
reversion of excess funds to the Creditors' Trust?
These are our preliminary comments. we will, of
course, have additional comments to the Plan, and the Disclosure
Statement which was not addressed herein, after you and the
Debtor address the various unresolved issues, particularly as
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