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IN RE NEW VALLEY CORP.

Civ.A. No. 98-982.

222 B.R. 722 (1998)

In re NEW VALLEY CORPORATION, Reorganized Debtor. NEW VALLEY CORPORATION, Appellant/Cross-Appellees, v. CORPORATE PROPERTY ASSOCIATES, Appellees/Cross-Appellants.

United States District Court, D. New Jersey.

July 13, 1998.

Attorney(s) appearing for the Case

Mark S. Melodia, Alissa Pyrich, Ben Burke Howell, Tobey M. Daluz, Reed Smith Shaw & McClay, Princeton, NJ, for Corporate Property Associates.

David M. Friedman, Lorie R. Beers, Kasowitz, Benson, Torres & Friedman, New York City, for New Valley Corp.

OPINION

WOLIN, District Judge.

Corporate Property Associates 2 and 3 ("CPA") filed a claim in New Valley Corporation's ("NV") bankruptcy. After years of litigation and a trial, the Bankruptcy Court determined that CPA should recover $2,888,469.30 from NV's estate. NV raises three issues on appeal, and CPA cross-appeals on five of the Bankruptcy Court's rulings. The Court has determined that the Bankruptcy Court abused its discretion by using the wrong...

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