Agreed, just as you said...............
IF, as Z and others contend that there are substantial assets to be distributed, AG's litigation would hold up any distribution due to the unresolved litigation.
By making a distribution to Equity while her appeal is still being heard would literally prove her case thus ensuring that her appeal would be granted.
This in turn could lead to further appeals and litigation from the UW's since such a decision would mean they do not receive their $72M, or the 1% stake in Class 19 some claim.
So yes, it would have been silly or ill timed for any distribution to be permitted while there was ongoing litigation directly tied to same.
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