Walton v. Kleinfeld (In re Glados, Inc.)

MEMORANDUM OPINION

SCHLESINGER, District Judge.

This appeal presents the rare situation of a solvent debtor — an estate which contains a surplus of funds — -and a dispute over the allocation of the surplus funds as interest on trustee and professional fees. Appellant, Donald F. Walton, Acting United States Trustee (the “UST”) appeals from an order of the Bankruptcy Court Overruling United States Trustee’s Objection to Trustee’s Proposed Distribution, Allowing Administrative Expenses and Authorizing Chapter 7 Distribution. The parties to this appeal are (i) Appellant, the UST, (ii) Appellee…