United States of America v. JHW Greentree Capital

Filing 2

COPY OF ORDER from USDC-District of Connecticut appointing the Small Business Administration as receiver of JHW Greentree Capital. (JSF)

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Case 3:12-cv-00116-VLB Document 9

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UISTF..CT OF Nt.~'C'i·,.)hA

Case 3:12-cv..Q0116-VLB Document 2-1

12 FEB 2 I AM 10: 51
IN 'l'IIIt IOO'I'&D STAT.18 DDTRICl" COURT
I'OJl THE DISTRIct OP CONNECl'Icur
UNI'J'm BfATlBOP AMBRICA,
. . . .lIrol......" ... U....
. . . S.......... AtbaIIdItntioa

,OfFICE OF Inc CLERK

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IT IS HBRBBY ORDERED, ADJUDGBD AND DBCRBBD:
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Pursuant to the proYisiooa of 15 U.s.c. §687c, this Court. . . cxclualw

jurisclictiou of JRW Oreentaee ClpitaJ.. LP.("OracaIree") lad all ofb ...... ...
property. ofwhatcvcr kind IIId wbonver locIIecI, and tho UDited States Sma11 BuIJDDss
AdmiDiItratioIl

raBA") is lI:n=by IPJM)iIm:d Racdwr ("tIM: Receivor") ofOreeldree to

IICIrW without boad until

fbrthor oaIer oftbla Court. The Reaei.,. is appo1Dted tor tho

pU1pOIIO ofllllU'SbaJUugllld UquidadiDa in.. orderly JD8IIIK'II' aU ofONld:ree'...... aad

satiaf)'lns tho claims of creditors tbereofin tho order ofpdodty 18 determiDed by tbls

Court.
2.

The R.eco1ver shaD have aD powers, authorities, rip1s IDCI privilop

ha:dofOJe posseucd by the pzun1 pII'IDer. managers, ofticcn, directors, brvestment
adviIors IDd other BpDtI of OreentIee UDdor appIicabJe. . aDd federal law. by tho
CertItleate of Umitec1 Partncnhlp and Asreemant ofIJmited Partnarsblp of llid Jlmlted

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parbaahfp, in additioD to III pG'MI'I ad autharit)' of. aecoiver It equity, ad all powcn

aad audIodty 00Dferred upon the RIoeiver by tho pmviaIoDa of 15 U.S.C.'687c amd

21 U.S.C.

,'1S4. Tho, mIDI.., ofBoers. dJrecfoD. iDve8tmeat IClYiDIIDd ...... of

CJreaoIxeo are hereby dismlad IDd 1bo powell of1bo paanl pam... bcnby
8U1p111ded. Such parIOJII aha1l Uve DO 8Idhority with rospect to 0reen1me'1 operad_
or...., except to the extct IS may hereafter be expraaly amntod by 1bo Recelvw. 'l11e

Reeciver aball_ 8IId COD1rol the operation of 0IeeD1ree and shill parsu.e _
pnIICI'YC aU of its claims.
3.

Tho past IIIJIIIor preaoot paanl partDerI, mlllll&lllt oft1cen. dincIDrI,

luwItmcDt advisors. apntI. trustees, ~, aocountants. ad cmplo,ees ofOrecrdnlct
.. weD IS aU those ICtins iD their pIaee, _ _by orc1ad ad dbected to tum OWI'to
tile Raceiver bthwith all boob, RCOrda, documeD1I, accounts aud aD other iutrumeatI
and papers of aDd relatiua to Oreentrco IDd 1ta IUetI and aU otl1ar ..... and property of
the COIpOI'Ition, whether real or peraonaI. The fbrm« 0eDaaI PInner aadlor oIber apat
of Orcontreo, sbaU tbraiah • written statement witbiD teD (10) days after the CIItry oftbls

Order, ~ 1be ideDtity, J.ocatlon and estimated
IS 1be DIIIlCS, addresses

_ue of

aBusebt of Oxeentree IS wdl

aDd IIDOUDtI ofclaims of a111mown CftIcIIton of 0reent1ee.

W'dhiD thirty (30) da)'ll folJowiDs 1be entry oftbfs Order, such perIOD sball aJso funPsh a
written report deacnDiDa all assctB. All pc:IJODI having COIdro1, custody or poaeaion of

any aue1I or property of OftIeDlIee are hereby dfJeotlld to tum such ..... and property
over to the RA:ceiver.
4.

The R.ecelver shaD pmmpd.y alva notice ofits ippOintment to all known

partners, ofllcors, dircctora, apota, employees. sIuutholden. creditors and de\Mors of

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Oreemree. II tbD Receiwt decIu DeCD••', or IdviIIbIe to eIl'oc:tulle the op.:atiOD of..
mceiwnIIip. All perIODI aad 0Idities owias my obJipticm or debt to 0reeDtrw, uadI

bihar ordcrod by this Court, pay aIllUdl obIfpdoDs ill ICCOIdaiJce wI1h tile 1ImnI

dIaoffO dJc Receiver and its JeOeipt for auch paJlIICIIfIlIbaI1luwe 1be IIIDO force ad
effect IIICOJeeaIroc hid rocei'Vld

5.

1UCh,.,......

1ho Receiver IaIMnbJ autharbIed to opal sacb Reociter'IICCO'UIltI at

bIakiDa or otta. ftnmcIalla8tl1adoaa to exaend credit ell bebaIfofOreeDtrw, to utiI&Jo
SBA peI'IODMI. aad to employ such other pmlOllDOl u it

may" aeoesllr)' to

c:ffectaate tile ope:ratioD of. lIICIlWDbip IncIudba& but DDllimttecl to, IltOmeyI.
ICOOUDIBDts, and appraiaen, and II :ftIrtJIer .athoIlzed to apaId ftICClvenhip Imds to
oompeaIIle aucb penonnel fa IUOb lD10UIltIaad upon such __ .1be R.eceiwr abaD

deem 1'CIIIIODIb1e in IIsht of.

usual_ aad bUIbta padiceB IIIICl p.IOCCIdunIs ofsuch

pallOllJld. The RDceiver II DOt nquInd to ob1aiD Court approval pdcIr to the

cUsbumoment ofRlOClivcnbip fbnds for payIDCIIII to pel. . . . . employed by the Reco.i'ftIr

or for apeIIIOI tluat 1bc Reeelver deems advatIpous to the 0Idcrly adadDistradOllIlld
opera1Ioa oftbe receiwnbip. In Idditioo, dlc Rece1wr lllUIbodzod to reimburle 1be
SBA for travel cxpenICI iDcurrocl by SBA. pcIl'IODDOl in the eaIIIbHabmeat IDd

admiDistratioD oftbo zeca\lCl'lbip. The Reed. .may. without fbather cmIcrr oftbls Court,
tl~, C01'IlpI'OInIae or otberw.iIe diapoIe oflIlY _

('lIlCludiDa without limitlticm my

claim). otberoim real.­

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0r0eaIrec'. past and/or prcaeDt pm1D.ers , otIlocn, directors, .....

8CC01IIltants, IDIIDaacrs. sbaRhoJdm:B, cm.ploycea, debtca IID.d crcditons of OlCOidlee ad

other appropriate persons (includiDs without Jimltation, the doteadlDl'l porttblio of small

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buIIaaaa ClOJIIWDIIDd flDaacllII.iasIitudcIw doIDs 'buIIaeII with cIc.tiDIaDt eIJIJIot
defimdant'a portIbllo ofllDllll:luslMa OODCIIIII) aIuIII, upoa reuaoable DOtice,. . .
UDder 0Itb to the ReoeIwr all qaesdons wIdch the RIJceiWir may put to-them in
compIiaace with die Pederal Rules ofCWiI PIocodare, IDd puIIII8IIt thaeto IhaIJ produce
8llJ docnmea1s _ nquired by the Recetnr ropnIiDa the busiDcas ofllid COIpOlIlion. or

coJlcdion offimds clue to 0Jeentree. lD the 8Veat that the Recelver deems it DeCCIIIIJ to
require the appeIl'IDCO ofthe aforaDeDtioDed pcnonat the production ofdocuInonts,
iDftmatioa, or any other diacowry coaoanUna the III8OtI, pvparty or basiDca opcratk1es

ofOnsen1lee, or 8llJ other DII1ter kelcmmt to the opendIoD. or jdministradOD oftbe
Receivenbip or the c:oIlecI:kID oft\mds dae to an.sn.., die Reoaiver BIIaU mab ita
discover)' requesl(s) in compliance with the DOdce.IUbpoeua ad other PecIeral Rules of

Civil Procet:kn.
7.

Tho pardea orplOllJleOdve.-ties to 8DJ·1ad all dvillepl poccedinp

wbelever located, i:acI.ucUn& bat DOt timited to arbi1ratlOD pnceedinp., baknJptcy or
foreclosure ICtioas, defiIuIt ~ or any other procecdinp ImoIving (i) 0nIeDttee,
(it) aay assets of 0Jeentree. (ill) tile ReceIver tbr Oreent:rce or(iv) ORcr.aUee t • preacat or

past ofticem, directors, managers, or pocral partners (iDcJ.udiDg the m..... or IDCIIlbcn
of such general partner) to the CX1Mt said cIvlllopl JlI'OC"'C"inp involvo 8llJ actioa taIrm

by them wbile acdDs in their official CIpIIClty with 0Ieentree, are eqIoined &om takiDa 8llJ

acdoa. iDc.ludina cIIacovcry, CQlIIIIMI'dna or CODdDulDa aDy Jop1 pror.eediDa of 8DJ D8bR
without tbrthet om. oftbis Court.

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AD clvD .... poceedfnp wIIemw locIdId, iDcIDdfDa adJbratiw

~ fbnclO8llle IOdvitiea. 'baDIaupecy IICIio.nI, or defiaIt pmcoedfDp, bat

exdudiDg file lasbmtpmaeedfn& brvoMDa (i) ~ (II) 1111 of..... ofOlealtree,

(iii) the Recelva: ibr 0mm.tIec. (iv) Ch1Icm1:nIc'l pIeIIId

or paIt ofBora, direckD,

"......,Bt• ...,nl pedias(lncludflJlthe ........ or~oflUCh ..... parIIa")
to the OJdaItsaid ctvJllepl pnlCeOdInp iIr¥olw ~ ICtkm 1aba In tbeIr of6dIl CIIJ*It1
hORleaircc ." stayod In the,lrerdblty,1Id III COUIfIbaYIDa 1111 judadictkI111aeofa
cqiobd 6um taIdDg OfpemJlaiDa 1111 doD iii IUCh p:oceedmp undl1brtbcr Older of

ddsCourt.
9.

Further. u to a 08.1IIIe of acdoD ICCIUed or accruiaa ill favor of OrecDtnle

II.piDst a tbiRt penon 01' party. any appIicIbJc Ibdu&e ofllndtldon Is 10Ued to the extent

alkAwd by appHcablo Jaw cludDa the period in which tID lDjuDcdou .....
COIIIIIIODCCIDD oflcpl pmocccHnp .. in elliot u to 1bIt__ ofIOdoD.

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ORcntawamd its past aadIar p-.nt ............ pertDer or limItccl

puIDerI, ofJ'ice.a, diftICtol8, ..... iIrYe:IbIIcmt advison, .p.oyw.... other pIIIOD8

acting in coaccrt or particlpatiaslbcn=wJ1h be, ... they hereby In, eqjoiDod 1iam ei1bI:r

dlrcctly 01' ludirectly tIkiDs any doas. ca"sina 8Il'J such action to bel 1abn wbich
would diulpde the . . . mdlor JIIOP'IdY of GraeatIw to the detrimeat ofb Rccciwr
appoiD.ted ill 1bi8 causo, iDdudiDa but nat Jimi1ec1 to dostructloa of corporate IICOJda, •

which would violate the SmIlI8usiDess 1Im:IstaDt Act of ]958. ulllDClllCled, J5 U.s.c.

661 &..., or the replatioDs promulptcd thenlUDdor
107.

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rRegulatiou" 13 C.P.R. Part

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up to $3.000.000, IIIId .latbom.Hocae OMabeo to iasuoRcceha'I CeItUfr:IIa of
~ in thepiDclpallDlOUldl of the liliiii ~ wbich CIIII1iflcatea wDlbelr

iDten:It It CJI' about 10 pen=capel' IDIDDlIDd willlaYo'. maturity dB

110'"

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JDCIIdhs .... tho date oflauc. Slid RI:ce1wI'I Cc:rtIfIcatII otlDl:lebledDoa IbaIlIa¥e
priority CMIr all otbcr debta IDd obIiptioas ofOtMdl.. cxcIucIbIs IdaIiDiIIratiw
~ oftho R.ecei'vaIbfp,

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wIIether......,. exiIdD& or.......iDouaecI. iDcIudina

'Ibis Court dc.nlira and a4jucIicItes that 0tec:I:Ib:e0. . ~o1atccldle SmIIl

Business Invcatment Act. IS U.S.c. 661 et seq, IDd tbc Repl. .promulpted

tbereunder at 1~ C.F.R. f 107.1 ct. " I I alleged ID tho 0:Implaint filed in1Ida ........
13.

AfteroompledDg ~ activities in aacoadaDcc with tbII Older, die Recelvcr

may rcoommead that 0reeaae0.1iaeaae IIID SBlC be mokcd ad that eoDbol of~

Iimii:d p811DeIablp be retunIild 10 OI.MI.1tnIe'. pmnl pIIItDe:r aodIor i1I detlpco CJI'

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SOORDERBDtbiI~ dafofFebruary2012
/s/
1lIBHONORABLB
UNrrBDSTATBS DISTRlCfCOURTJUOOB

Vanessa L. Bryant

SEEN AND AGREED BY mw GDIN'l'RIZ CAPITAL. L.P.AND TID U.s. '
SMALL BU8INB88 A.DMINIBTBA110N. T11RQUG111'BBIRDULY
A1JTJIORIZED RBPIWDtNTATIVE8:

JHW ORWll11ee CapItal, 1.P.

By: iIs 0enaraI PadDa't JHW 0RtaInID Capital OPt u.c

:~~~C_C¥·U.P.

~.~ MmwsJng Member
130 MaiD StnIet

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New Canaan. Cf 06840

lJa.itcd State. Small Businoaa Adm.inia8ration

Br.~~
ThomuG.
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omcc of SBle f..kiuidatIoo

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