Following removal of a malpractice, negligence, and fraud suit brought in state court by creditors in a consolidated Chapter 11 bankruptcy proceeding against the accountants who performed work during the bankruptcy, a decision dismissing the matter is affirmed as: 1) the circuit court lacks jurisdiction to review the bankruptcy and district courts’ decisions relating to alleged procedural defects in the removal process and mandatory or permissive abstention; and 2) the bankruptcy and district courts did not err with respect to claims relating to subject matter jurisdiction and the bankruptcy court’s final adjudicative authority.
In a matter in which appellant-creditor brought an adversary complaint against a bankruptcy debtor seeking to deny the debtor’s discharge or to hold the debtor’s debt to it non-dischargeable, dismissal of the adversary complaint and an injunction against creditor is affirmed in part, vacated in part, and remanded where: 1) the bankruptcy court erred by holding that appellant lacked standing to file the adversary proceeding; 2) however, it did not err in denying appellant’s objection to dischargeability of the debt under 11 U.S.C. section 523(a)(2); 3) an objection to discharge under 11 U.S.C. section 727 required reconsideration in light of the ruling on standing; and 4) due to the error on standing, an injunction prohibiting appellant from filing future complaints objecting to discharge or dischargeability without prior court approval is vacated.
An order of the district court affirming the bankruptcy court’s refusal to allow a corporation’s claims against a bankruptcy estate is affirmed where: 1) three of the creditor’s claims were contract claims based on a contract to which the debtor was not a party; and 2) proof of another claim was untimely filed and did not relate back to prior claims.