United States of America v. Prospero Ventures, L.P.

Filing 28

ORDER by Judge ARMSTRONG granting 18 Motion (lrc, COURT STAFF) (Filed on 10/31/2006)

United States of America v. Prospero Ventures, L.P.

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Case 4:04-cv-04351-SBA

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KEVIN V. RYAN, CA NO. 118321 United States Attorney JOANN M. SWANSON, CA NO. 88143 Chief, Civil Division EDWIN L. JOE, CA NO. 112328 Special Assistant U.S. Attorney 455 Market Street, Sixth Floor San Francisco, CA 94105 Telephone: [phone] Facsimile: [phone] [e-mail] Attorneys for Plaintiff UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA OAKLAND DIVISION UNITED STATES OF AMERICA, ) ) Plaintiff, ) ) ) v. ) ) PROSPERO VENTURES, L.P. ) ) Defendant. ) ______________________________) E-Filing Case No: C 04-4351 SBA HON. SAUNDRA BROWN ARMSTRONG Date: Oct. 31, 2006 Time: 1:00 PM Room: Ctrm 3, 1301 Clay St., Oakland

ORDER APPROVING THE RECEIVER'S NOTICE AND DETERMINATION OF CLAIMS This matter comes before the Court on the Motion of the U.S. Small Business Administration ("SBA") as Receiver ("Receiver") for Prospero Ventures, L.P. ("Prospero") (f/k/a Dotcom Ventures, L.P., f/k/a ASCII Ventures, L.P.) for Entry of an Order Approving the Receiver's Notice and Determination of Claims, Memorandum in Support of Motion, and Receiver's Notice and Determination of Claims Received in Response to the Claims Bar Date. After reviewing the pleadings, and this Court being duly advised as to the merits, C 04-4351 SBA - ORDER APPROVING THE RECEIVER'S NOTICE AND DETERMINATION OF CLAIMS
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Dockets.Justia.com

Case 4:04-cv-04351-SBA

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IT IS HEREBY ORDERED THAT: 1. The Receiver's Motions (1) to reopen this case and (2) to consider entry of an Order Approving the Receiver's Notice and Determination of Claims are both GRANTED; and 2. The Receiver's Notice and Determination of Claims Received in Response to the

Claims Bar Date, and of Prospero's debt due to the SBA, and the Receiver's recommendations therein are APPROVED; and 3. The withdrawal of the claim filed by the Krishnan Shah Family Limited

Partnership, LP ("Shah") is APPROVED; and 4. The Receiver is authorized to pay the following claims in the following order of priority, to the extent of available receivership assets, and the following claims are hereby APPROVED: a) First, any and all administrative expenses of the receivership estate as they

are presented and become due; b) Second, any outstanding Receiver's Certificates, should the Receiver

make such borrowings from the SBA in the future, plus accrued interest; c) Third, the general unsecured claim filed by Cooley Godward LLP

("Cooley") in the amount of $42,959.22, and the general unsecured claim filed by Pepper Hamilton LLP ("Pepper") in the amount of $11,890.35; d) Fourth, the general unsecured debt of Prospero to the U.S. Small Business

Administration ("SBA"), in the principal amount of $8,984,885, which is the total principal amount of the 15 Participating Securities purchased by SBA from Prospero; e) Fifth, to the Limited Partners of Prospero in accordance with the
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provisions contained in the Amended and Restated Limited Partnership Agreement dated C 04-4351 SBA - ORDER APPROVING THE RECEIVER'S NOTICE AND DETERMINATION OF CLAIMS

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September 10, 1999, as amended, provided that the Limited Partner has paid or satisfied its capital commitment to Prospero in full; and 5. The Receiver is authorized to make immediate payment in the amount of

$42,959.22 to Cooley in full satisfaction of its claim, and in the amount of $11,890.35 to Pepper in full satisfaction of its claim, and may make partial payments from receivership funds to the SBA in partial repayment of the total principal of $8,984,885 of its 15 Participating Securities, in such amounts and at such times as the Receiver deems appropriate, without further prior order of this Court; and 6. All persons who failed to file claims pursuant to the terms of the Court's Order

entered February 8, 2006 establishing the Claims Bar Date, shall be forever barred and shall be permanently enjoined from asserting, pursuing or prosecuting any pre-receivership claim (i.e., arising before October 20, 2004) against Prospero, the Receiver, their successors or assigns, or against assets or funds in the possession of the Receiver. 7. In accordance with the Court Order granting the Receiver's Motion to Reopen this

case and to consider entry of an Order Approving and Confirming the Receiver's Notice and Determination of Claims received in response to the Claims Bar Date, this case is now // // // // // // // C 04-4351 SBA - ORDER APPROVING THE RECEIVER'S NOTICE AND DETERMINATION OF CLAIMS
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Case 4:04-cv-04351-SBA

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administratively closed. The Receiver may move to re-open the case for appropriate postjudgment relief at a later time. The Clerk shall close the file and terminate any pending matters.

SO ORDERED: This 31st day of October, 2006, in Oakland, California.

____________________________________ HON. SAUNDRA BROWN ARMSTRONG United States District Judge Copies To: Edwin L. Joe Special Assistant United States Attorney 455 Market Street, Sixth Floor San Francisco, CA 094105 Telephone: [phone] Facsimile: [phone] Arlene P. Messinger Assistant General Counsel for SBIC Enforcement U.S. Small Business Administration Receiver for Prospero Ventures, L.P. 409 Third Street, S.W., 7th Floor Washington, DC 20416 Telephone: [phone] Facsimile: [phone] Brian S. Stern Principal Agent for the Receiver SBA, Receiver for Prospero Ventures, L.P. 666 11th Street, N.W., Suite 200 Washington, D.C. 20001-4542 Telephone: [phone] Facsimile: ( 202) 504-2247

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C 04-4351 SBA - ORDER APPROVING THE RECEIVER'S NOTICE AND DETERMINATION OF CLAIMS