On on January 12, 2012 and January 13, 2012, Jeoffrey L. Burtch, Chapter 7 trustee in the ManagedStorage International, Inc. Bankruptcy, commenced Chapter 5 preferential transfer recovery litigation with the filing of 55 complaints in the District of Delaware.

Debtor and Bankruptcy Case Overview

Lead Bankruptcy Case Name (Case Number):  ManagedStorage International, Inc. (09-10368)

Bankruptcy Court District (Division):  District of Delaware

Petition Date:  On February 4, 2009, the Debtors filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code. On November 3, 2010, the Court entered an Order converting the Debtors above captioned cases from Chapter 11 to Chapter 7 of the Bankruptcy Code. Jeoffrey L. Burtch was appointed as interim trustee on or about November 4, 2010. The complaints allege that the meeting of creditors pursuant to 11 U.S.C. § 341 was held and concluded on January 18, 2011.

Associated Debtors:  ManagedStorage International, Inc.; Incentra Solutions, Inc.; Incentra Solutions of California, Inc.; Network System Technologies, Inc.; Incentra Solutions of the Northeast, Inc.; Incentra Solutions of the Northwest, Inc.; Sales Strategies, Inc.; and Incentra Solutions International, Inc.

Debtors' Industry Group:   Services-Business Services (SIC: 7389)

Debtors' Business:   ManagedStorage delivered information technology services and products to a wide variety of middle market customers in North America and Europe. The Debtors' business included (1) the resale and distribution of hardware and software products directly to customers, (2) professional services relating to storage and infrastructure assessments, storage system design, implementation and integration, cost of ownership assessments, project management, engineering support and staff augmentation/outsourcing to a variety of data center and IT service providers; and (3) managed services relating to monitoring and management of IT storage infrastructure, operations and maintenance support and financing solutions.

Primary Industry Groupings of Defendants:   IT Hardware Manufacturers; Software Developers; IT Support Services


Adversary Proceedings Overview

Plaintiff: Jeoffrey L. Burtch, Chapter 7 trustee

Number of Proceedings: 55

When Filed: on January 12, 2012 and January 13, 2012

Adversary Proceeding Judge: U.S. Bankruptcy Judge Mary F. Walrath

Plaintiff's Counsel: Cooch and Taylor, P.A. (Wilmington, DE) attorneys Robert W. Pedigo, Gregory F. Fischer, Paula C. Witherow, R. Grant Dick IV

Avoidance Period: The complaint identifies the preference period as the period "during the ninety-day period prior to the filing of the Debtors' bankruptcy petition".


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