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environmental agencies, to be used by them to pay costs of <br /> reclamation. In addition, the Plan provides for the augmentation <br /> of the Rockdust Plant proceeds from sales of the Debtor's other <br /> real and personal property, up to a total of $3,000,000, subject to <br /> downward adjustments for reclamation work performed to date, and <br /> for work which is to be performed under the M&E Contract at no <br /> cost. The additional funds provided under the Plan are to be used <br /> to carry out the Debtor's approved reclamation plan. The Plan <br /> provides for an additional $250,000 of sales proceeds to be used <br /> for other environmental remediation. See Sections III.B.S, <br /> "Reclamation Claims, " and III.B.6, "Environmental Claims, " below. <br /> Concurrently with distributions to the MLRB, a portion of <br /> the funds from sale of the Debtor's property shall be distributed <br /> to unsecured creditors. In this manner, some distribution is <br /> assured for environmental claimants and unsecured creditors alike. <br /> While the Plan specifies the extent that reclamation or <br /> environmental claims may be paid from property of the Debtor's <br /> bankruptcy estate, Section 7.4 of the Plan specifically provides <br /> that nothing in the Plan shall release any officers, directors, <br /> agents, employees, or corporate affiliates of the Debtor from any <br /> personal liability that such persons may have with respect to <br /> environmental remediation or reclamation of the Mine Site. <br /> State Lawsuit Against Officers, Other Management, and <br /> Minerals. On September 17, 1993, the Division filed a lawsuit in <br /> the District Court for Pitkin County, Colorado, against John <br /> Reeves, the Debtor's President and Director; Robert Delaney, the <br /> Debtor's Executive Vice-President, Secretary, General Counsel and <br /> Director; Diane Delaney, an employee of the Debtor; and Minerals. <br /> The lawsuit alleges that the amount of the Debtor's <br /> performance bond, and the estimated cost of performing reclamation <br /> as required by the Act, is $3 million; that the Debtor and its <br /> agents have "failed or refused" to complete the sealing of the Mine <br /> and to complete reclamation of the Mine site as required by the <br /> Division's reclamation schedule; that "there are no longer <br /> sufficient assets remaining in Resources' estate with which to <br /> perform such maintenance and reclamation" ; that the defendants are <br /> agents of the Debtor for purposes of the Act; and that the court <br /> may issue orders pursuant to the Act requiring the alleged agents <br /> to comply with orders of the MLRB and the Division. <br /> The lawsuit demands that the defendants "immediately" <br /> complete reclamation pursuant to the reclamation plan, the Act and <br /> regulations promulgated under the Act, and the MLRB's reclamation <br /> schedule, and that defendants maintain the site and abate any <br /> statutory, regulatory, or permit violations. <br /> Defendants advise that they intend to vigorously oppose <br /> the lawsuit. Defendants have answered the Division's complaint, <br /> 17 <br />