{"id":"court_ctb_4348_0","court":"CTB","case_no":"22-50073","doc_number":4348,"sub_number":0,"doc_type":"ORDER","filed_date":null,"title":"UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION | -------------------------------------------","summary_zh":null,"summary_en":null,"body_en":"# **UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION**\n\n| ------------------------------------------------------<br>x |                                       |  |  |\n|-------------------------------------------------------------|---------------------------------------|--|--|\n| In re:                                                      | :<br>:<br>Chapter 11                  |  |  |\n| HO WAN KWOK, et al.,1                                       | :<br>:<br>Case No. 22-50073 (JAM)     |  |  |\n| Debtors.                                                    | :<br>:<br>(Jointly Administered)<br>: |  |  |\n| ------------------------------------------------------x     |                                       |  |  |\n\n# **RESPONSE OF GENEVER HOLDINGS LLC AND CHAPTER 11 TRUSTEE TO MOTION OF THE SHERRY-NETHERLAND, INC. FOR AN ORDER DIRECTING DEBTOR GENEVER HOLDINGS LLC TO IDENTIFY A SOURCE OF FUNDING TO PAY MONTHLY POST-PETITION MAINTENANCE CHARGES**\n\nGenever Holdings LLC (\"Genever (US)\") and Luc A. Despins, in his capacity as the\n\nchapter 11 trustee (the \"Trustee\" and, together with Genever (US), the \"Respondents\") appointed\n\nin the chapter 11 case of Ho Wan Kwok (the \"Individual Debtor\"), by and through their\n\nundersigned counsel, hereby file this response (the \"Response\") to the *Motion of the Sherry*\n\n*Netherland, Inc. for an Order Directing Debtor Genever Holdings LLC to Identify a Source of*\n\n*Funding to Pay Monthly Post-Petition Maintenance Charges* [Docket No. 4310] (the\n\n\"Motion\").2 In support of this Response, the Respondents respectfully state as follows:\n\n<sup>1</sup> The Debtors in these chapter 11 cases are Ho Wan Kwok (also known as Guo Wengui, Miles Guo, and Miles Kwok, as well as numerous other aliases) (last four digits of tax identification number: 9595), Genever Holdings LLC (last four digits of tax identification number: 8202) and Genever Holdings Corporation. The mailing address for the Trustee, Genever Holdings LLC, and Genever Holdings Corporation is Paul Hastings LLP, 200 Park Avenue, New York, NY 10166 c/o Luc A. Despins, as Trustee for the Estate of Ho Wan Kwok (solely for purposes of notices and communications).\n\n<sup>2</sup> Capitalized terms used but not otherwise defined herein shall have the meaning given to such terms in the Motion.\n\n#### **RESPONSE**\n\n1. Unfortunately, after having expended more than \\$1.7 million<sup>3</sup> —all of which was funded by the Kwok estate via an interdebtor DIP facility—to remediate the Apartment following the March 15, 2023 fire, the Respondents find themselves in a difficult situation: to date, no interested buyers have stepped forward with actionable purchase offers for the Apartment. This is so notwithstanding Respondents' extensive efforts to market the Apartment for sale—both before the March 2023 fire and after completion of the remediation in August 2024—including by (a) extending the retention of Sotheby's International Realty, as Genever (US)'s real estate broker and sales agent, *see* Docket No. 3660, and (b) substantially reducing the Apartment's listing price from \\$24 million (in September 2024) to \\$19.5 million (in November 2024), \\$16 million (in February 2025) and, most recently, \\$12 million.4 Still, the sale process remains challenging due to, among other things, (a) the Apartment's substantial monthly maintenance fees of approximately \\$90,000.00, (b) the substantial cost that a future buyer will likely have to expend to renovate and modernize the Apartment, and (c) recent political developments (including the announcement of wide-ranging tariffs) that have created an uncertain economic climate, including in the New York real estate market.\n\n2. At the same time, Genever (US) is being charged approximately \\$90,000.00 a month by the Sherry-Netherland for maintenance fees, even though the Apartment has not been occupied. To date, these charges have been debited against Genever (US)'s Security Deposit;\n\n<sup>3</sup> *See Genever Holdings LLC's Final Status Report Regarding Remediation and Cleaning of Sherry Netherland Apartment* [Docket No. 4208].\n\n<sup>4</sup> It also bears reminding that the Apartment was purchased by the Individual Debtor in 2015 for approximately \\$67.5 million. Moreover, immediately prior to the March 2023 fire, the Apartment had been listed for sale with a listing price of \\$32.5 million.\n\nhowever, as the Motion correctly notes, the Security Deposit is expected to be exhausted in June 2025.\n\n3. To be clear, during these chapter 11 cases, the Respondents have had a constructive and cooperative relationship with the Sherry-Netherland, including as it relates to the remediation project at the Apartment in the aftermath of the March 2023 fire. However, in the face of the above challenges, the Respondents cannot commit, at this time, to fund and/or pay the monthly maintenance charges once the Security Deposit is exhausted. While the Respondents are continuing assess next steps, the fundamental reality is that the interests of two different estates need to be considered here—the Individual Debtor's estate and Genever (US)'s estate—and the Trustee faces the difficult decision whether to continue to use the resources of the former estate to fund—through the interdebtor DIP facility—the payment obligations of the latter. In this regard, the Trustee also needs to take into account that the proceeds from the sale of the Apartment will almost certainly be sufficient to satisfy the Sherry-Netherlands' secured claims against Genever (US) in full.5 Indeed, the DIP Order expressly provides that the Sherry Netherland's security interest is senior to the security interests and liens granted to the DIP lender (*i.e.*, the Individual Debtor's estate). *See* DIP Order ¶ 6.(a)1. In other words, the net proceeds from the sale of the Apartment will first be used to satisfy the secured claims of the Sherry-Netherland.\n\n4. That said, and to answer the central question raised by the Motion, if the Respondents determine to pay the monthly maintenance charges after the Security Deposit has\n\n<sup>5</sup> The Court previously allowed the Sherry-Netherland's prepetition secured claim in the amount of \\$1,096,186.54. *See* DIP Order ¶ 11. The Respondents estimate that the Sherry-Netherland's asserted postpetition secured claim is less than \\$3 million, and a substantial portion of that claim relates to late fees, which the Respondents dispute.\n\nbeen exhausted, such payments would be funded through borrowings under the existing DIP facility, which currently has more than \\$500,000 in borrowing availability.\n\n5. Finally, the Respondents understand that the Motion only seeks information from the Respondents as to a *source of funding* for Genever (US) to pay the monthly maintenance charges, and does not seek to compel Genever (US) to pay the maintenance charges and/or the Trustee to fund the payment of such charges or seek any other relief, such as relief from the automatic stay, adequate protection, or the allowance and payment of an administrative expense claim. However, to the extent that the Motion is also intended as a request to compel the Respondents to actually fund and/or pay the monthly maintenance charges, the Respondents respectfully submit that such a request should be denied because the Sherry-Netherland has made no factual or legal showing that it would be entitled to any such relief—whether in the form of lifting the automatic stay, obtaining adequate protection, and/or the allowance and payment of an administrative expense claim.6\n\n[*Remainder of page intentionally left blank.*]\n\n<sup>6</sup> It suffices to say, at this stage, that the Sherry-Netherland cannot simply terminate the Proprietary Lease, just because *it* has determined there has been a breach of such lease. Moreover, the Respondents note that the May 31, 2021 order modifying the automatic stay to allow the Sherry-Netherland to debit monthly maintenance fees against the Security Deposit, *see* Docket No. 107 in Case No. 22-50592, required the Sherry-Netherland to seek separate relief for satisfaction of \"any increases in the assessments owed under the Proprietary Lease.\" The Sherry Netherland has increased the monthly maintenance fees for the Apartment from approximately \\$82,000.00 in 2021 to approximately \\$90,000.00 today (and has continued to debit such increased fees against the Security Deposit), but it has not sought or obtain further stay relief. The Respondents reserve all their rights in this regard.\n\nWHEREFORE, for the foregoing reasons, Genever (US) and the Trustee respectfully\n\nrequest that the Court deny the Motion and grant any other relief as the Court considers proper.\n\nDated: April 24, 2025 New York, New York\n\nBy: */s/ G. Alexander Bongartz*\n\nG. Alexander Bongartz (admitted *pro hac vice*) PAUL HASTINGS LLP 200 Park Avenue New York, New York 10166 (212) 318-6000 alexbongartz@paulhastings.com\n\n*and*\n\nNicholas A. Bassett (admitted *pro hac vice*) PAUL HASTINGS LLP 2050 M Street NW Washington, D.C., 20036 (202) 551-1902 nicholasbassett@paulhastings.com\n\n *and*\n\nPatrick R. Linsey (ct29437) NEUBERT, PEPE & MONTEITH, P.C. 195 Church Street, 13th Floor New Haven, Connecticut 06510 (203) 781-2847 plinsey@npmlaw.com\n\n*Counsel for Genever Holdings LLC and the Chapter 11 Trustee*\n\n# **UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION**\n\n| ------------------------------------------------------<br>x |             |                         |  |\n|-------------------------------------------------------------|-------------|-------------------------|--|\n| In re:                                                      | :<br>:      | Chapter 11              |  |\n| HO WAN KWOK, et al.,1                                       | :<br>:      | Case No. 22-50073 (JAM) |  |\n| Debtors.                                                    | :<br>:<br>: | (Jointly Administered)  |  |\n| ------------------------------------------------------x     |             |                         |  |\n\n### **CERTIFICATE OF SERVICE**\n\nThe undersigned hereby certifies that on the date hereof, the foregoing Motion was\n\nelectronically filed. Notice of this filing was sent by e-mail to all parties to the above-captioned\n\ncase by operation of the Court's electronic filing (\"CM/ECF\") system or by mail to anyone\n\nunable to accept electronic filing as indicated on the Notice of Electronic Filing.2\n\nDated: April 24, 2025 New York, New York\n\nBy: */s/ G. Alexander Bongartz*\n\nG. Alexander Bongartz (admitted *pro hac vice*) PAUL HASTINGS LLP 200 Park Avenue New York, New York 10166 (212) 318-6000 alexbongartz@paulhastings.com\n\n*Counsel for Genever Holdings LLC and the Chapter 11 Trustee*\n\n<sup>1</sup> The Debtors in these chapter 11 cases are Ho Wan Kwok (also known as Guo Wengui, Miles Guo, and Miles Kwok, as well as numerous other aliases) (last four digits of tax identification number: 9595), Genever Holdings LLC (last four digits of tax identification number: 8202) and Genever Holdings Corporation. The mailing address for the Trustee, Genever Holdings LLC, and Genever Holdings Corporation is Paul Hastings LLP, 200 Park Avenue, New York, NY 10166 c/o Luc A. Despins, as Trustee for the Estate of Ho Wan Kwok (solely for purposes of notices and communications).\n\n<sup>2</sup> To the extent that the foregoing was filed outside regular business hours, service by mail on recipients unable or not qualified to accept electronic notice was made on the next business day.","body_zh":"UNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION（美国康涅狄格区破产法院布里奇波特分院）\n\nx\n\n关于：\n第 11 章\nHO WAN KWOK（郭文贵）等，1\n案号：22-50073 (JAM)\n债务人。\n（合并审理）\n\nGENEVER HOLDINGS LLC 及第 11 章受托人对 THE SHERRY-NETHERLAND, INC. 申请责令债务人 GENEVER HOLDINGS LLC 明确支付申请后每月物业管理维护费资金来源的动议的答复\n\nGenever Holdings LLC（“Genever (US)”）以及在 Ho Wan Kwok（“个人债务人”）第 11 章案件中获任命的第 11 章受托人 Luc A. Despins（“受托人”，与 Genever (US) 合称“答复人”），特通过其下述署名律师，就 The Sherry-Netherland, Inc.（雪莉荷兰公司）申请责令债务人 Genever Holdings LLC 明确支付申请后每月物业管理维护费资金来源的动议 [Docket No. 4310]（“动议”）2 提交本答复（“答复”）。为支持本答复，答复人恭敬陈述如下：\n\n1 本第 11 章案件中的债务人包括 Ho Wan Kwok（亦称郭文贵、Miles Guo、Miles Kwok 以及其他诸多化名）（纳税人识别号后四位：9595）、Genever Holdings LLC（纳税人识别号后四位：8202）及 Genever Holdings Corporation。受托人、Genever Holdings LLC 及 Genever Holdings Corporation 的邮寄地址为 Paul Hastings LLP（普衡律师事务所）, 200 Park Avenue, New York, NY 10166 转交 Ho Wan Kwok 破产财产受托人 Luc A. Despins（仅用于接收通知和联络之目的）。\n\n2 本文中已使用但未作另行定义的首字母大写术语，应具有动议赋予该等术语的含义。\n答复\n\n1. 遗憾的是，在耗费了超过 1.7 million 美元 3——全部由郭氏破产财产通过债务人间 DIP 融资（占有债务人融资）提供资金——用于在 2023年3月15日 火灾后对涉案公寓进行修复之后，答复人发现自身陷入了困境：截至目前，尚无任何有意向的买家提出具有可操作性的公寓购买要约。尽管答复人作出了广泛努力以推销出售该公寓——无论是在 2023年3月 火灾之前，还是在 2024年8月 完成修复之后——包括通过：(a) 延长聘用 Sotheby's International Realty（苏富比国际地产）作为 Genever (US) 的房地产经纪人和销售代理，参见 Docket No. 3660；以及 (b) 大幅下调公寓的挂牌价格，从 24 million 美元（2024年9月）降至 19.5 million 美元（2024年11月）、16 million 美元（2025年2月），以及最近的 12 million 美元 4，情况依然如此。尽管如此，出售过程依然充满挑战，其原因尤其包括：(a) 该公寓每月约 90,000.00 美元的高昂物业管理维护费；(b) 未来的买家可能不得不为翻新和现代化该公寓而支出的巨额成本；以及 (c) 近期的政治局势发展（包括宣布实施广泛关税），导致了包括纽约房地产市场在内的不确定经济环境。\n\n2. 与此同时，即便该公寓一直无人居住，Sherry-Netherland 每月仍向 Genever (US) 收取约 90,000.00 美元的物业管理维护费。截至目前，这些费用已从 Genever (US) 的保证金中扣除；\n\n3 参见 Genever Holdings LLC 关于雪莉荷兰公寓修复及清洁的最终状态报告 [Docket No. 4208]。\n\n4 同样需要提醒的是，该公寓由个人债务人于 2015年 以约 67.5 million 美元购入。此外，就在 2023年3月 火灾发生前，该公寓挂牌出售的挂牌价曾为 32.5 million 美元。\n\n然而，正如动议正确指出的那样，该保证金预计将于 2025年6月 耗尽。\n\n3. 需要明确的是，在这些第 11 章案件审理期间，答复人与 Sherry-Netherland 保持着建设性与合作性的关系，包括涉及 2023年3月 火灾后该公寓的修复工程。然而，面对上述挑战，答复人目前无法承诺在保证金耗尽后提供资金和/或支付每月物业管理维护费。虽然答复人正在继续评估后续步骤，但根本的事实是，此处需要兼顾两个不同破产财产的利益——个人债务人的破产财产和 Genever (US) 的破产财产——而受托人面临着一个艰难的抉择：是否继续使用前一破产财产的资源，通过债务人间 DIP 融资来资助后一破产财产的支付义务。在这方面，受托人还需要考虑到，出售该公寓所得款项几乎肯定足以全额清偿 Sherry-Netherland 对 Genever (US) 的有担保债权。5 事实上，DIP 裁定明确规定，Sherry-Netherland 的担保权益优先于授予 DIP 贷款人（即个人债务人破产财产）的担保权益和留置权。参见 DIP 裁定第 6.(a)1 款。换言之，出售该公寓的净收益将首先用于清偿 Sherry-Netherland 的有担保债权。\n\n4. 话虽如此，针对动议提出的核心问题，如果答复人决定在保证金\n\n5 法院此前确认了 Sherry-Netherland 金额为 1,096,186.54 美元的申请前有担保债权。参见 DIP 裁定第 11 款。答复人估计，Sherry-Netherland 主张的申请后有担保债权不足 3 million 美元，且该债权中很大一部分涉及滞纳金，答复人对此存有争议。\n\n耗尽后支付每月物业管理维护费，该等付款将通过现有 DIP 融资项下的借款来支付，该融资目前尚有超过 500,000 美元的可用借款额度。\n\n5. 最后，答复人理解，该动议仅向答复人寻求关于 Genever (US) 支付每月物业管理维护费的资金来源信息，并不寻求强制 Genever (US) 支付物业管理维护费和/或受托人为该等费用的支付提供资金，亦不寻求任何其他救济，例如解除自动中止（自动冻结）、充分保护、或确认并支付行政管理费用债权。然而，如果在某种程度上该动议亦旨在请求强制答复人实际出资和/或支付每月物业管理维护费，答复人恭敬地提请注意，该请求应当予以驳回，因为 Sherry-Netherland 无论是通过解除自动中止、获得充分保护，还是通过确认并支付行政管理费用债权等形式，均未就其有权获得任何此类救济作出事实或法律证明。6\n\n[本页余下部分特意留白。]\n\n6 在现阶段，仅说明这一点便已足够：Sherry-Netherland 不能仅仅因为其认定存在违约行为，就单方面终止专属租赁合同（Proprietary Lease）。此外，答复人指出，2021年5月31日 修改自动中止以允许 Sherry-Netherland 从保证金中扣除每月物业管理维护费的裁定（参见案件编号 22-50592 中的 Docket No. 107）要求 Sherry-Netherland 就清偿“根据专属租赁合同所欠的任何新增分摊费用”寻求单独救济。Sherry-Netherland 已将该公寓的每月物业管理维护费从 2021年 的约 82,000.00 美元提高到如今的约 90,000.00 美元（并继续从保证金中扣除该等增加的费用），但其并未就此寻求或获得进一步的中止救济。答复人在此方面保留其全部权利。\n\n据此，基于前述理由，Genever (US) 与受托人恭敬请求法院驳回该动议，并给予法院认为适当的任何其他救济。\n\n日期：2025年4月24日 纽约州纽约市\n\n签署人：/s/ G. Alexander Bongartz\n\nG. Alexander Bongartz（经特别许可出庭）\nPAUL HASTINGS LLP\n200 Park Avenue\nNew York, New York 10166\n(212) 318-6000\nalexbongartz@paulhastings.com\n\n及\n\nNicholas A. Bassett（经特别许可出庭）\nPAUL HASTINGS LLP\n2050 M Street NW\nWashington, D.C., 20036\n(202) 551-1902\nnicholasbassett@paulhastings.com\n\n及\n\nPatrick R. Linsey (ct29437)\nNEUBERT, PEPE & MONTEITH, P.C.\n195 Church Street, 13th Floor\nNew Haven, Connecticut 06510\n(203) 781-2847\nplinsey@npmlaw.com\n\nGenever Holdings LLC 及第 11 章受托人之代理律师\nUNITED STATES BANKRUPTCY COURT DISTRICT OF CONNECTICUT BRIDGEPORT DIVISION（美国康涅狄格区破产法院布里奇波特分院）\n\nx\n\n关于：\n第 11 章\nHO WAN KWOK（郭文贵）等，1\n案号：22-50073 (JAM)\n债务人。\n（合并审理）\n\n送达证明\n\n下述署名人特此证明，于本文件签署之日，前述动议已通过电子方式归档。此归档通知已通过法院电子归档系统（“CM/ECF”）以电子邮件形式发送给上述案件的所有当事人，或按照电子归档通知上的指示，通过邮寄方式发送给无法接收电子归档的任何人。2\n\n日期：2025年4月24日 纽约州纽约市\n\n签署人：/s/ G. Alexander Bongartz\n\nG. Alexander Bongartz（经特别许可出庭）\nPAUL HASTINGS LLP\n200 Park Avenue\nNew York, New York 10166\n(212) 318-6000\nalexbongartz@paulhastings.com\n\nGenever Holdings LLC 及第 11 章受托人之代理律师\n\n1 本第 11 章案件中的债务人包括 Ho Wan Kwok（亦称郭文贵、Miles Guo、Miles Kwok 以及其他诸多化名）（纳税人识别号后四位：9595）、Genever Holdings LLC（纳税人识别号后四位：8202）及 Genever Holdings Corporation。受托人、Genever Holdings LLC 及 Genever Holdings Corporation 的邮寄地址为 Paul Hastings LLP, 200 Park Avenue, New York, NY 10166 转交 Ho Wan Kwok 破产财产受托人 Luc A. Despins（仅用于接收通知和联络之目的）。\n\n2 如果前述文件系在正常营业时间之外归档，则对无法或不具备资格接收电子通知的接收人的邮寄送达已于下一个工作日进行。","key_entities":["Kwok","Ho Wan Kwok","Paul Hastings","Guo","Despins","Miles Guo","Je"],"ecf_references":[],"word_count":1645,"status":"published","published_at":null,"created_at":null,"updated_at":"2026-08-23 13:00:15"}