IN RE GENERAL HOMES CORP.

Civil Action No. H-91-1250.

199 B.R. 148 (1996)

In re GENERAL HOMES CORPORATION. The UNSECURED CREDITORS COMMITTEE, Appellant, v. GENERAL HOMES CORPORATION, Appellee.

United States District Court, S.D. Texas.

June 5, 1996.


Attorney(s) appearing for the Case

Leon V. Komkov, Austin, Texas, for Plaintiff.

John F. Higgins, IV, Houston, Texas, for Defendant.


OPINION ON APPEAL

HUGHES, District Judge.

1. Introduction.

Three creditors filed an involuntary petition against a debtor under Chapter 11 of the Bankruptcy Code. During the gap, after the creditors had filed their petition but before the court had ordered relief, the directors of the debtor substantially increased salary and severance benefits for the three principal officers. Two of the three directors...

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