[Federal Register Volume 61, Number 65 (Wednesday, April 3, 1996)]
[Notices]
[Pages 14844-14845]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-8196]
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SECURITIES AND EXCHANGE COMMISSION
[File No. 500-1]
The Enstar Group, Inc.; Order of Suspension of Trading
March 29, 1996.
It appears to the Securities and Exchange Commission that there is
a lack of current and accurate information concerning the cancelled
common stock of The Enstar Group, Inc. (``Enstar''), which is currently
a debtor-in-possession pending liquidation pursuant to Chapter 11 of
the U.S. Bankruptcy Code. On May 31, 1991, Enstar filed for bankruptcy
protection in U.S. Bankruptcy Court for the Middle District of Alabama.
On February 24,
[[Page 14845]]
1992, the bankruptcy court approved a plan to liquidate and dissolve
Enstar. This plan provided: ``Effective upon [June 1, 1992], all Common
Stock shall be cancelled and the holders of Shareholder Interests shall
receive nothing on account of such Shareholder Interests, which shall
be discharged.'' On June 9, 1992, Enstar filed with the Commission a
certificate of termination of registration of its common stock. Because
of a change in the value of Enstar's assets, on August 25, 1993,
without reinstating the cancelled common stock, the court approved a
modification to the plan whereby Enstar's shareholders of record as of
June 1, 1992, could potentially receive distributions and proceeds from
any property in the bankruptcy estate after ``such time as the holders
of [specified priority claims] that are entitled to receive Property
pursuant to [the plan] have been paid in full [plus accrued
interest].'' The modification specifically prohibited the trading or
transfer of any claims, including Shareholder Interests, absent
authorization from either Enstar or the court. Therefore, according to
the bankruptcy plan, unless a claim transfer has been authorized by
Enstar or the bankruptcy court, current holders of Enstar's cancelled
common stock who were not also shareholders of record on June 1, 1992,
may not be entitled to receive distributions or any proceeds from the
liquidation of Enstar's property.
The Commission is of the opinion that the public interest and the
protection of investors require a suspension of trading in the
cancelled common stock of the above company.
Therefore, it is ordered, pursuant to Section 12(k) of the
Securities Exchange of 1934, that trading in the above company is
suspended for the period from 3:00 p.m. EST, March 29, 1996, through
2:59 p.m. EST, on April 11, 1996.
By the Commission.
Jonathan G. Katz,
Secretary.
[FR Doc. 96-8196 Filed 3-29-96; 4:15 pm]
BILLING CODE 8010-01-M
