Hussey Sale Shouldn't Mean Payoff For CEO: Creditors

Law360, New York (November 10, 2011, 4:01 PM EST) -- Hussey Copper Corp.'s unsecured creditors objected Thursday to the bankrupt metal company's upcoming $88.7 million sale to Kataman Metals LLC, saying the deal should not benefit Hussey's CEO and other insiders who have already used the company as their personal ATM.

The creditors committee asked a bankruptcy judge to place in escrow $5.2 million of the sale proceeds until it completed its investigation into Hussey owner Roy D. Allen. The creditors claim Allen took a number of large monetary transfers from the bankrupt business in the...
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