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MATTER OF GASLIGHT CLUB, INC.

No. 85-1235.

782 F.2d 767 (1986)

In the Matter of GASLIGHT CLUB, INC., et al., Debtors-Appellants.

United States Court of Appeals, Seventh Circuit.

Decided January 31, 1986.

Attorney(s) appearing for the Case

Louis W. Levit, Levit & Mason, Ltd., Chicago, Ill., for Bd. of Directors and Robert Fredricks, appellant.

Daniel A. Zazove, Towbin & Zazove, Ltd., Chicago, Ill., for Creditors' Committee, appellee.

David P. Leibowitz, Schwartz, Cooper, Kolb & Gaynor, Chtd., Chicago, Ill., for debtor in possession, appellee.

Before CUMMINGS, Chief Judge, and WOOD and CUDAHY, Circuit Judges.

CUDAHY, Circuit Judge.

In January 1983 Gaslight Club, Inc. ("Gaslight") and seven affiliated corporations1 filed voluntary petitions in the Bankruptcy Court for reorganization under Chapter 11 of the Bankruptcy Code. Gaslight operated private dining and drinking clubs in various cities throughout the United States. Robert Fredricks, president and majority shareholder of Gaslight, was designated by the court as the person entitled

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