Spongetech Delivery Systems, Inc. (fka SPNGQ)

[loanranger]

How would you address this seeming quandary:

Judge Bernstein has stated that it would be improper, based on a lack of funding, for him to impose the pursuit of this silly NSS recovery (I know, it isn't reasonable to think that there is one) on the Trustee and the estate. And that the shareholders should pursue such a claim independently and with their own funds.

The problem with this seems to me to be, and it is addressed by Sasser's attorney in his motion, that any recovery that the shareholders might secure would be prioritized to, or would certainly eventually be sought by, the creditors of the estate. The Trustee has given no indication at all that the estate is willing to accept the prospect that a recovery by the shareholders would inure solely to the benefit of the shareholders.

As a practical matter, I can't imagine the shareholders mounting the legal effort necessary to actually pursue the issue. And have even more trouble imagining them having any success if they did. But can the court essentially strip the creditors of their claim to any theoretical recovery by offering it up to the shareholders? He can't just leave it open to them as he has, can he? Because the way he has left it in his memorandum he has done just that.
http://viewer.zoho.com/docs/b6abXa