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IN RE ROBOTIC VISION SYSTEMS, INC.

Nos. 04-14151-JMD, 04-14152-JMD.

343 B.R. 393 (2006)

In re ROBOTIC VISION SYSTEMS, INC., and Auto Image ID, Inc., Debtors.

United States Bankruptcy Court, D. New Hampshire.

May 26, 2006.

Attorney(s) appearing for the Case

Norman M. Kinel, Esq., Dreier LLP, New York, NY, Bruce A. Harwood, Esq., Sheehan Phinney Bass + Green, P.A., Manchester, NH, for the Debtor.

Michael D. Sirota, Esq., Cole,. Schotz, Meisel, Forman & Leonard, P.A., Hackensack, NJ, John M. Sullivan, Esq., Preti Flaherty, PLLP, Concord, NH, for Marotta, Gund, Budd & Dzera, LLC.

Robert A. White, Esq., Murtha Cullina LLP, Hartford, CT, for the Oficial Committee of Unsecured Creditors.

Steven M. Notinger, Esq., James W. Donchess, Esq., Donchess & Notinger P.C., Nashua, NH, for Chapter 7 Trustee.

Charles A. Dale III, Esq., Gadsby Hannah LLP, Boston, MA, Thomas J. Pappas, Esq., Wiggin & Nourie, P.A., Manchester, NH, for Pat V. Costa.

Geraldine Karonis, Esq., Office of United States Trustee, Manchester, NH, for United States Trustee.

MEMORANDUM OPINION

J. MICHAEL DEASY, Bankruptcy Judge.

I. INTRODUCTION

On November 19, 2004, Robotic Vision Systems, Inc. and Auto Image ID, Inc. (collectively the "Debtors") sought bankruptcy protection under chapter 11 of the Bankruptcy Code. On October 11, 2005, the Court converted the Debtors' jointly administered cases to chapter 7, and the United States Trustee (the "UST") appointed Steven M. Notinger (the "Trustee") to...

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