SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) April 26, 1996
VALUE MERCHANTS, INC.
(Exact name of registrant as specified in charter)
Wisconsin 1-10973 9-1103185
(State of other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
710 North Plankinton Avenue, Milwaukee, WI 53203
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (414) 274-2575
(Former name or former address, if changed since last report)
Item 3. Bankruptcy or Receivership.
On May 2, 1996 the United States Bankruptcy Court for the Eastern District
of Wisconsin (the "Court") entered an order converting the 1993 chapter 11 cases
of the Company and its subsidiary, Everything's A Dollar, Inc., respectively
case numbers 93-26733-JES and 93-26734-JES, to cases under chapter 7 of the
Bankruptcy Code.
On May 2, 1996 the Court entered an order converting the 1996 chapter 11
cases, respectively case numbers 96-22218-JES and 96-22219-JES, to cases under
chapter 7 of the Bankruptcy Code. Michael F. Dubis was appointed as the chapter
7 trustee with expanded powers to operate the retail business of Everything's A
Dollar. Mr. Dubis has retained Randall D. Crocker as legal counsel. Mr. Dubis
has obtained Court authority to close the retail operations and liquidate all
assets. The Court has approved The Nassi Group, LLC to conduct store closure
sales at the retail stores.
Item 5. Other Events.
Effective as of April 26, 1996, William B. Edwards resigned from the
position of acting Chief Operating Officer of Everything's A Dollar, Inc.
Effective as of May 2, 1996, all members of the Board of Directors of Value
Merchants, Inc. and its subsidiary, Everything's A Dollar, Inc., resigned their
positions.
Item 7. Financial Statements and Exhibits.
(c) Exhibits.
Exhibit No. Description of Document
99.1 Order converting case 93-26733-JES to a chapter 7 case and
authorizing the appointment of a chapter 7 trustee.
99.2 Order converting case 93-26734-JES to a chapter 7 case and
authorizing the appointment of a chapter 7 trustee.
99.3 Order converting case 96-22218-JES to a chapter 7 case and
authorizing the appointment of a chapter 7 trustee.
99.4 Order converting case 93-22219-JES to a chapter 7 case and
authorizing the appointment of a chapter 7 trustee.
99.5 Appointment of chapter 7 trustee in the 1993 cases.
99.6 Appointment of chapter 7 trustee in the 1996 cases.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this Report to be signed on its behalf by the
undersigned hereunto duly authorized.
VALUE MERCHANTS, INC.
Date: May 15, 1996
By: /s/ Ronald E. Skelton
Ronald E. Skelton, Vice President, Treasurer
INDEX TO EXHIBITS
(99) Additional Exhibits
99.1 Order converting case 93-26733-JES to a chapter 7 case and
authorizing the appointment of a chapter 7 trustee.
99.2 Order converting case 93-26734-JES to a chapter 7 case and
authorizing the appointment of a chapter 7 trustee.
99.3 Order converting case 96-22218-JES to a chapter 7 case and
authorizing the appointment of a chapter 7 trustee.
99.4 Order converting case 93-22219-JES to a chapter 7 case and
authorizing the appointment of a chapter 7 trustee.
99.5 Appointment of chapter 7 trustee in the 1993 cases.
99.6 Appointment of chapter 7 trustee in the 1996 cases.
UNITED STATES BANKRUPTCY COURT
EASTERN DISTRICT OF WISCONSIN
In re: Case No. 93-26733-JES*
VALUE MERCHANTS, INC., Chapter 11
Debtor.
In re: Case No. 93-26734-JES*
EVERYTHING'S A DOLLAR, INC., Chapter 11
Debtor.
ORDER CONVERTING CASES TO CHAPTER 7
Upon the Motion of the Office of the U.S. Trustee, and for the reasons
stated upon the record at the conclusion of hearing on said motion on April 26,
1996, said Findings of Fact and Conclusions of Law being incorporated herein by
reference, and for reasons stated upon the record at the conclusion of further
hearing on Joint Emergency Motion of Debtors to Reconsider Order Converting
Cases or, Alternatively, to Delay Entry of Order, Appoint an Examiner with
Expanded Powers or Appoint a Chapter 11 Trustee, held April 29, 1996;
IT IS HEREBY ORDERED that the above-captioned cases are converted to
cases under Chapter 7 of the Code effective 9:00 a.m. May 2, 1996.
IT IS FURTHER ORDERED that the Trustee is authorized to operate the
business pursuant to the provisions of Title 11 U.S.C. Section 721 and said
trustee is further ordered to operate said stores presently being liquidated
pursuant to Court Order by the Nassi Group. In the event that the trustee
believes that he cannot comply with said agreement and Court order, the
trustee shall immediately request appropriate relief from the Court.
IT IS FURTHER ORDERED that Ronald Skelton is designated as the person
required to perform the duties of the Debtors required by Fed. R. Bankr. P. 1019
and to appear at any Section 341 Meeting herein to give testimony concerning the
schedules and Statement of Financial Affairs.
Dated this 2nd day of May, 1996.
/s/ James E. Shapiro
Honorable James E. Shapiro
U.S. Bankruptcy Judge
UNITED STATES BANKRUPTCY COURT
EASTERN DISTRICT OF WISCONSIN
In re: Case No. 93-26733-JES*
VALUE MERCHANTS, INC., Chapter 11
Debtor.
In re: Case No. 93-26734-JES*
EVERYTHING'S A DOLLAR, INC., Chapter 11
Debtor.
ORDER CONVERTING CASES TO CHAPTER 7
Upon the Motion of the Office of the U.S. Trustee, and for the reasons
stated upon the record at the conclusion of hearing on said motion on April 26,
1996, said Findings of Fact and Conclusions of Law being incorporated herein by
reference, and for reasons stated upon the record at the conclusion of further
hearing on Joint Emergency Motion of Debtors to Reconsider Order Converting
Cases or, Alternatively, to Delay Entry of Order, Appoint an Examiner with
Expanded Powers or Appoint a Chapter 11 Trustee, held April 29, 1996;
IT IS HEREBY ORDERED that the above-captioned cases are converted to
cases under Chapter 7 of the Code effective 9:00 a.m. May 2, 1996.
IT IS FURTHER ORDERED that the Trustee is authorized to operate the
business pursuant to the provisions of Title 11 U.S.C. Section 721 and said
trustee is further ordered to operate said stores presently being liquidated
pursuant to Court Order by the Nassi Group. In the event that the trustee
believes that he cannot comply with said agreement and Court order, the
trustee shall immediately request appropriate relief from the Court.
IT IS FURTHER ORDERED that Ronald Skelton is designated as the person
required to perform the duties of the Debtors required by Fed. R. Bankr. P. 1019
and to appear at any Section 341 Meeting herein to give testimony concerning the
schedules and Statement of Financial Affairs.
Dated this 2nd day of May, 1996.
/s/ James E. Shapiro
Honorable James E. Shapiro
U.S. Bankruptcy Judge
UNITED STATES BANKRUPTCY COURT
EASTERN DISTRICT OF WISCONSIN
In re: Case No. 96-22218-JES
VALUE MERCHANTS, INC., Chapter 11
Debtor.
In re: Case No. 96-22219-JES
EVERYTHING'S A DOLLAR, INC., Chapter 11
Debtor.
ORDER CONVERTING CASES TO CHAPTER 7
Upon the Motion of the Office of the U.S. Trustee, and for the reasons
stated upon the record at the conclusion of hearing on said motion on April 26,
1996, said Findings of Fact and Conclusions of Law being incorporated herein by
reference, and for reasons stated upon the record at the conclusion of further
hearing on Joint Emergency Motion of Debtors to Reconsider Order Converting
Cases or, Alternatively, to Delay Entry of Order, Appoint and Examiner with
Expanded Powers or Appoint a Chapter 11 Trustee, held April 29, 1996;
IT IS HEREBY ORDERED that the above-captioned cases are converted to
cases under Chapter 7 of the Code effective 9:00 a.m. May 2, 1996.
IT IS FURTHER ORDERED that the Trustee is authorized to operate the
business pursuant to the provisions of Title 11 U.S.C. Section 721 and said
trustee is further ordered to operate said stores presently being liquidated
pursuant to Court Order by the Nassi Group. In the event that the trustee
believes that he cannot comply with said agreement the Court order, the
trustee shall immediately request appropriate relief from the Court.
IT IS FURTHER ORDERED that Ronald Skelton is designated as the person
required to perform the duties of the Debtors required by Fed. R. Bankr. P. 1019
and to appear at any Section 341 Meeting herein to give testimony concerning the
schedules and Statement of Financial Affairs.
Dated this 2nd, day of May, 1996.
/s/ James E. Shapiro
Honorable James E. Shapiro
U.S. Bankruptcy Judge
UNITED STATES BANKRUPTCY COURT
EASTERN DISTRICT OF WISCONSIN
In re: Case No. 96-22218-JES
VALUE MERCHANTS, INC., Chapter 11
Debtor.
In re: Case No. 96-22219-JES
EVERYTHING'S A DOLLAR, INC., Chapter 11
Debtor.
ORDER CONVERTING CASES TO CHAPTER 7
Upon the Motion of the Office of the U.S. Trustee, and for the reasons
stated upon the record at the conclusion of hearing on said motion on April 26,
1996, said Findings of Fact and Conclusions of Law being incorporated herein by
reference, and for reasons stated upon the record at the conclusion of further
hearing on Joint Emergency Motion of Debtors to Reconsider Order Converting
Cases or, Alternatively, to Delay Entry of Order, Appoint and Examiner with
Expanded Powers or Appoint a Chapter 11 Trustee, held April 29, 1996;
IT IS HEREBY ORDERED that the above-captioned cases are converted to
cases under Chapter 7 of the Code effective 9:00 a.m. May 2, 1996.
IT IS FURTHER ORDERED that the Trustee is authorized to operate the
business pursuant to the provisions of Title 11 U.S.C. Section 721 and said
trustee is further ordered to operate said stores presently being liquidated
pursuant to Court Order by the Nassi Group. In the event that the trustee
believes that he cannot comply with said agreement the Court order, the
trustee shall immediately request appropriate relief from the Court.
IT IS FURTHER ORDERED that Ronald Skelton is designated as the person
required to perform the duties of the Debtors required by Fed. R. Bankr. P. 1019
and to appear at any Section 341 Meeting herein to give testimony concerning the
schedules and Statement of Financial Affairs.
Dated this 2nd day of May, 1996.
/s/ James E. Shapiro
Honorable James E. Shapiro
U.S. Bankruptcy Judge
UNITED STATES BANKRUPTCY COURT
EASTERN DISTRICT OF WISCONSIN
In re: Case No. 93-26733-JES*
VALUE MERCHANTS, INC., Chapter 7
Debtor.
In re: Case No. 93-26734-JES*
EVERYTHING'S A DOLLAR, INC., Chapter 7
Debtor.
APPOINTMENT OF TRUSTEE
Pursuant to Order of the Court converting said cases from cases under
Chapter 11 of the Code to cases under Chapter 7; Michael F. Dubis is hereby
appointed trustee in said cases.
Dated this 2nd day of May, 1996.
M. SCOTT MICHEL
UNITED STATES TRUSTEE
/s/ John Robert Byrnes
John Robert Byrnes
Assistant United States Attorney
UNITED STATES BANKRUPTCY COURT
EASTERN DISTRICT OF WISCONSIN
In re: Case No. 96-22218-JES
VALUE MERCHANTS, INC., Chapter 7
Debtor.
In re: Case No. 96-22219-JES
EVERYTHING'S A DOLLAR, INC., Chapter 7
Debtor.
APPOINTMENT OF TRUSTEE
Pursuant to Order of the Court converting said cases from cases under
Chapter 11 of the Code to cases under Chapter 7; Michael F. Dubis is hereby
appointed trustee in said cases.
Dated this 2nd day of May, 1996.
M. SCOTT MICHEL
UNITED STATES TRUSTEE
/s/ John Robert Byrnes
John Robert Byrnes
Assistant United States Attorney
