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IN RE IBI SECURITY SERVICE, INC.

No. CV 94-4667(ADS), Bankruptcy No. 91-71235-21, Adversary No. 092-7042-21.

206 B.R. 23 (1997)

In re IBI SECURITY SERVICE, INC., Debtor. IBI SECURITY SERVICE, INC., Plaintiff, v. NATIONAL WESTMINSTER BANK USA, National Westminster Bank, N.J., First Fidelity Bank, N.A., New Jersey, Revere Armored, Inc., and Nigel James Somerville Bowie, An Underwriter at Lloyd's, London, Other Lloyd's Underwriters Subscribing to Insurance Policy No. 576/G371634, Defendants.

United States District Court, E.D. New York.

March 3, 1997.

Attorney(s) appearing for the Case

Goldman, Horowitz & Cherno, Garden City, NY (Andrew M. Thaler, of counsel), for Chapter 7 Trustee.

Mangone & Schnapp, New York City (Louis A. Mangone, of counsel), Special Counsel to Chapter 7 Trustee.

Kelley, Drye & Warren, New York City (Gary S. Jacobson, of counsel), for Creditor BII, Inc.

SPATT, District Judge:

BII, Inc. ("BII"), a secured creditor in the above-captioned bankruptcy case, appeals from two final orders of the bankruptcy court, Judge Melanie J. Cyganowski, which respectively (1) approve a settlement reached in the above-captioned adversary proceeding, and (2) authorize the distribution of certain settlement proceeds to the Chapter 7 Trustee. BII essentially contends that the bankruptcy court erred in approving the settlement and authorizing...

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