Bankruptcy Court Rejects Red River Talc’s Prepackaged Reorganization Plan, Grants Motion to Dismiss

HOUSTON –– The bankruptcy court overseeing Red River Talc LLC’s Chapter 11 proceedings has rejected the Debtor’s prepackaged reorganization plan, concluding that the plan “cannot be confirmed as constructed,” and since amended versions would similarly fail, it is in the best interest of the Debtor and its creditors to dismiss the proceeding, HarrisMartin Publishing is reporting.

The order was issued on March 31 by Hon. Christopher M. Lopez of the U.S. Bankruptcy Court for the Southern District of Texas, one month after a two-week confirmation hearing concluded in the matter.

“Red River said that the purpose of soliciting votes pre-bankruptcy …