Earlier this month, the Chapter 7 Trustee (the “Trustee”) appointed in the Indalex bankruptcy began filing avoidance actions against various Indalex creditors. For those not familiar with the Indalex bankruptcy, Indalex filed petitions for bankruptcy in the United States Bankruptcy Court for the District of Delaware on March 20, 2009. Prior to filing bankruptcy, Indalex was one of the largest aluminum extruders in the United States.
In April of 2009, I wrote a post summarizing the Indalex bankruptcy proceeding. A link to my prior post is available here for review. Months after Indalex filed for bankruptcy, the company sold substantially all of its assets. The Bankruptcy Court entered an order approving the sale of assets on July 20, 2009. Approximately two months after the Court approved the sale of assets, the Official Committee of Unsecured Creditors filed a motion seeking to convert the Indalex proceeding from a chapter 11 reorganization to a chapter 7 liquidation. Indalex and other parties in interest submitted an agreed order converting the case to chapter 7 on October 14, 2009.
With the sale of substantially all of Indalex’s assets and the conversion to chapter 7, Indalex is no longer operating as a viable business. Instead, the Trustee is in the process of pursuing claims and liquidating assets of the company, including preference actions. The Indalex bankruptcy, along with the preference actions, are before the Honorable Peter J. Walsh. The Trustee in Indalex is represented by the law firm Dilworth Paxson LLP.