Bankruptcy Judge Allows Reagor-Dykes to Request Money
On Tuesday (January 22nd), a bankruptcy judge authorized Reagor-Dykes to borrow up to $1 million from McDougal-Dykes-Ewing or Bart Reagor and Rick Dykes in an interim order.
Reagor-Dykes was also authorized to borrow up to $3.75 million from International Bank of Commerce.
As a condition of borrowing the money, Reagor-Dykes would be obligated "to obtain confirmation of a plan of reorganization in form and substance approved by IBC Bank on or prior to May 1, 2019."
Since this is an interim order, it is still subject to change before it becomes a final order. The interim order does not force anyone to lend but, but instead authorized Reagor-Dykes to request the loans in the form of "debtor-in-possession" post-petition accounts.
It remains unclear if McDougal-Dykes-Ewing will continue to sponsor a Chapter 11 bankruptcy reorganization plan for Reagor-Dykes.
Reagor-Dykes filed for bankruptcy on August 1st of 2018, and was accused of default and fraud.