In Re Security & Energy Systems, Inc.

MEMORANDUM AND DECISION

EDWARD D. HAYES, Bankruptcy Judge.

A motion to convert the debtor, Security & Energy Systems, Inc., was filed by the Internal Revenue Service. The IRS seeks to have the Court order the debtor converted from a Chapter 11 debtor to a Chapter 7 debtor under the authority of 11 U.S.C. § 1112. The motion was heard on June 23, 1986. At the time of the oral argument, the debtor suggested that it would propose a “cramdown” plan under the auspices of 11 U.S.C. § 1112(b) which would force the IRS to accept an amount substantially less than its claim. The motion was reserved upon…