LIQUIDATORS/AUCTIONEERS AND APPRAISERS

(a)
Bond Required All liquidators/auctioneers retained by a trustee or debtor-in-possession in any case who will come into possession or control of the assets or proceeds of assets of an estate shall either participate in the bond program administered by the UST or post a bond with the United States as obligee for the full value of the assets in the possession or control of the liquidator/auctioneer, unless otherwise ordered by the Court.
(b)
Report of Sale The liquidator/auctioneer shall file a report of sale within seven (7) days of any sale and transmit a copy of the report to the UST and to the case trustee or debtor-in-possession. The report must provide an itemized list of the property sold, the name of each purchaser, and the price received for each item or lot of inventory. If the Court authorizes the deduction of the liquidator/auctioneer’s commission and costs of sale from the sale proceeds, the liquidator/auctioneer shall file with the report an affidavit or declaration listing the commission received and costs reimbursed.
(c)
Remittance of Gross Proceeds Unless otherwise ordered by the Court, all gross proceeds shall be remitted to the trustee or debtor-in-possession within ten (10) days of the sale. Upon motion of any party in interest and for good cause shown, the Court may authorize the liquidator/auctioneer to submit net proceeds or to turn over to a secured creditor the net proceeds realized from the sale of that creditor’s collateral.
(d)
Validity of Checks
(e)
Separate Escrow Account If the liquidator/auctioneer does not make an immediate settlement with the trustee or debtor-in-possession in any case, and the proceeds of the property sold are $50,000.00 or more, the auctioneer shall open a segregated escrow or impress account for deposit of the sale proceeds. This account shall be designated by the bankruptcy estate case name and shall require the co-signature of the trustee for any withdrawals. If the proceeds of the sale are less than $50,000.00, the proceeds may be deposited in the auctioneer’s trust or client fund account.
(f)
Appraiser Serving as Liquidator/Auctioneer No appraiser, agent, or employee of an appraiser who has been employed in a bankruptcy case may serve as the liquidator/auctioneer in that same case without the approval of the Court.
(g)
Liquidator/Auctioneer Purchasing at Sale
The validity of any checks or bank drafts accepted by the liquidator/auctioneer shall be the sole responsibility of the liquidator/auctioneer.

No liquidator/auctioneer, or any agent or employee of a liquidator/auctioneer employed in a case may purchase an asset from the estate.