Securities and Exchange Commission v McKnight

Filing 678

ORDER granting 666 Receiver's Motion for authority to make interim distribution to creditors and employ Epiq Systems, Inc. to serve as disbursing agent. Signed by District Judge George Caram Steeh. (MBea)

UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF MICHIGAN
SOUTHERN DIVISION
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SECURITIES AND EXCHANGE )
COMMISSION,
)
)
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Plaintiff,
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vs.
)
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GREGORY N. MCKNIGHT, and )
LEGISI HOLDINGS, LLC,
)
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Defendants,
)
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and
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LEGISI MARKETING, INC., LIDO )
CONSULTING, LLC, HEALTHY )
BODY NUTRACEUTICALS,
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LINDENWOOD ENTERPRISES, )
LLC, DANIELLE BURTON,
)
THERESA BURTON, and
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JENNIFER MCKNIGHT,
)
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Relief Defendants.
)
)
________________________________)

Case No. 08-11887
Hon. George Caram Steeh

ORDER GRANTING THE RECEIVER'S MOTION FOR AUTHORITY
TO (I) MAKE INTERIM DISTRIBUTION TO CREDITORS AND (II)
EMPLOY EPIQ SYSTEMS, INC. TO SERVE AS DISBURSING AGENT

This matter having come before the Court upon the Receiver's Motion for
Authority to (I) Make Interim Distribution to Creditors and (II) Employ Epiq
Systems, Inc. to Serve as Disbursing Agent (the “Motion”) (Doc. 666); and the
Court having considered the Motion and any responses thereto; and it appearing
that the Court has jurisdiction over the subject matter of the Motion and the relief
requested therein; and it appearing that notice of the Motion was sufficient; and
the Court being fully advised in the premises;
IT IS HEREBY ORDERED that:
1. The Motion is granted.
2. The Receiver is authorized to make a pro-rata distribution of $4.0 million
to all holders of Allowed Claims in accordance with the Motion, the Claims
Roster attached as Exhibit A to the Motion, and the Receiver’s Notice of
Corrections (Doc. 674).1
3. Failure of a holder of an Allowed Claim to timely present (i.e., cash or
deposit) its Second Interim Distribution check within 120 days from the date such
check is issued shall be deemed a waiver of the Second Interim Distribution by the
holder, and such Allowed Claim shall not be entitled to participate in this Second
Interim Distribution or be entitled to any “catch-up” payment at a later date with
respect to this Second Interim Distribution.

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All capitalized terms used but not defined herein shall have the meanings ascribed to them in the
Motion.
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4. Epiq Systems, Inc. is authorized to serve as the disbursing agent for the
Second Interim Distribution in accordance with the Motion.
5. The terms and conditions of this Order shall be immediately effective and
enforceable upon its entry.
6. Distribution to Mr. Wesley W. Adams shall be made to his new address,
as requested in Doc. 671. Also, distribution to Mr. Barry Coates and Ms. Gloria
Coates shall be made to their new address, as requested in Doc. 676.
7. The Court retains jurisdiction with respect to all matters arising from or
relating to the interpretation or implementation of this Order.
IT IS SO ORDERED.
Dated: April 19, 2016
s/George Caram Steeh
GEORGE CARAM STEEH
UNITED STATES DISTRICT JUDGE

CERTIFICATE OF SERVICE
Copies of this Order were served upon attorneys of record on
April 19, 2016, by electronic and/or ordinary mail.
s/Marcia Beauchemin
Deputy Clerk

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