Opinion ID: 1480159
Heading Depth: 1
Heading Rank: 2

Heading: Was Standard Entitled to Participate as a Creditor?

Text: This court held in Re Deep Rock Oil Corporation, 10 Cir., 113 F.2d 266, that the claims of the noteholders and the preferred stockholders exceeded in amount the value of the assets of the debtor and that Standard was not entitled to participate in any plan of reorganization unless, before the final consummation of the plan, the assets of the debtor should so increase in value that there would be a substantial equity to be applied to the satisfaction of Standard's claim. In its order of February 29, 1940, and again in its order of July 24, 1940, the trial court expressly found that the assets of the debtor were not sufficient in value to satisfy in full the claims of the noteholders and the preferred stockholders. It follows under our holding in Re Deep Rock Oil Corporation, supra, Standard is not entitled to participate.