Post Confirmation status report
UNITED STATES BANKRUPTCY COURT EASTERN DISTRICT OF LOUISIANA IN RE: CASE NO. 17-11213 FIRST NBC BANK HOLDING COMPANY, SECTION A DEBTOR CHAPTER 11 POST-CONFIRMATION STATUS REPORT
PLEASE TAKE NOTICE that First NBC Bank Holding Company (the “Debtor”) has made progress on the requirements for consummation of the Second Amended Joint Chapter 11 Plan of Reorganization for First NBC Bank Holding Company [Doc. 621] (the “Plan”), as immaterially modified and confirmed by the orderentered on May 15, 2020 [Doc. 863], as set forth below1. Plan Funding, Payments and Distributions to Date
1. The First Round Investment of $5,000,000, required for Plan funding, was provided to the Debtor in exchange for, inter alia, shares of the Debtor’s common stock.
2. The Debtor has made all statutory quarterly fee payments to the Office of the U.S. Trustee and all payments toward all other Allowed Administrative Claims as required by Section 2.1 of the Plan.
3. The Debtor has contributed $300,000 to the Litigation and Distribution Trust, as required by Section 6.1 of the Plan.
4. No Class 1 NQDC Priority Claims were Allowed; and, thus, no Plan payments were required by the Debtor with respect to this Class. 1 Unless otherwise defined herein, all capitalized terms shall have the meaning assigned to them in the Plan.
5. The Debtor has made all distributions to holders of Uncontested Class 2 Claims (general unsecured claims) required by the Plan. Specifically, a total of $3,437,879.14 has been paid to the following holders of Allowed Class 2 Claims:
U.S. Bank National Association
American Mutual Life Association
Federated Mutual Insurance Company
Federated Life Insurance Company
Federated Service Insurance Company
Farmers National Bank of Emlenton
Hare & Co, LLC
Cincinnati Insurance Company
Cincinnati Life Insurance Company
Fidelity & Guarantee Life Insurance Co.
Zurich American Insurance Company
FDIC as Receiver for First NBC Bank
Ashton J. Ryan, Jr.
Cleary Gottlieb Steen & Hamilton, LLP
Skadden, Arps, Slate, Meagher & Flom, LLC
Public Co. Accounting Oversight Board
Financial Accounting Standards Board
Fred V. Beebe
Robert Bradford Calloway William Roohi Kevin Patrick Reed
Michael L. LeBeau
George L. Jourdan
First Citizens Bank
6. Pursuant to the Plan, the Debtor is not required to make Plan payments to any other Classes of Creditors. Future Payments and Distributions Required by the Plan
7. Pursuant to Article VI of the Plan, there are three sources of funding for Claim payments: (a) Debtor’s Cash on hand; (b) the First Round Investment; and, (c) the Litigation and Distribution Trust.
8. Following payments and/or distributions outlined herein, all of the Debtor’s available Cash on hand has been disbursed.
9. The Debtor has set aside the sum of $502,120 from the First Round Investment for Contested Class 2 Claims pending resolution of objections to the allowance of such Contested Class 2 Claims. 10. The Litigation and Distribution Trust Assets consist of, inter alia, $300,000 cash transferred to the trust upon the Effective Date and all claims and causes of action transferred by the Debtor pursuant to the Plan. The Litigation and Distribution Trustee is responsible for making payments to creditors after the Plan Distribution Date. Other Post-Confirmation Progress
11. All property of the Debtor has been transferred to the Litigation and Distribution Trust or has revested in the Debtor. 12. The Indenture involving $60,000,000 in Certificated Securities has been cancelled, the Indenture Trustee has been relieved of all obligations thereunder and all related securities have been cancelled.
13. The Debtor has been rebranded as Golden Mountain Financial Corp.
14. Redomestication of the Debtor from Louisiana to Delaware has been completed.
15. The Debtor held a special meeting where shareholders approved, inter alia, the redomestication and rebranding of the Debtor as set forth in paragraphs 13 – 14 above.
16. Pursuant to Section 6.12 of the Plan,the Company has taken steps to formally terminate its prior Securities and Exchange Commission reporting obligations and the quotation of shares of its common stock on the OTC markets and all common stock of the Debtor has been reissued with associated trading restrictions.
17. The Debtor has hired employees, retained business consultants and other professionals for its business operations. 18. The Debtor has secured a $5 million working capital facility from the First Round Investors pursuant to a revolving loan and security agreement between the parties, from which $1 million has been drawn thus far by the Debtor. Pending Litigation Matters
19. Pursuant to the Plan, the Litigation and Distribution Trustee has assumed the Committee’s role in the settlement of certain claims for the benefit of the Debtor’s creditors and has been actively involved in multi-party litigation to enforce such settlement; and, is investigating additional claims for the benefit of its constituents, i.e., holders of Allowed Claims in all Classes except for Class 1.
20. As of the Effective Date, the appeal taken by the United States of America (“United States”) on behalf of its Department of Treasury remained pending before the U.S. District Court for the Eastern District of Louisiana (“District Court”). On March 31, 2021, the District Court entered a Memorandum Opinion and Order affirming this Court's Ruling on the United States'
Objection to Plan Confirmation and its Order Confirming the Reorganization Plan. On May 26, 2021, the United States filed a Notice of Appeal2 to the U.S. Court of Appeals for the Fifth Circuit with respect to the final judgment entered by the District Court on March 31, 2021 in favor of the Debtor and the Official Committee of Unsecured Creditors.
Respectfully submitted by: /s/ Barbara B. Parsons WILLIAM E. STEFFES (#12426) BARBARA B. PARSONS (#28714) THE STEFFES FIRM, LLC13702 Coursey Boulevard, Bldg. 3 Baton Rouge, Louisiana 70817 Telephone: (225) 751-1751 Fax: (225) 751-1998 Email: firstname.lastname@example.orgCounsel for Debtor
21. Should the United States proceed forward with prosecution of its appeal to the Fifth Circuit, it appears to the Debtor that moving to dismiss such appeal based on, inter alia, the doctrine of equitable mootness maybe appropriate.