Dykema Fee Application Request

IN THE UNITED STATES DISTRICT COURT 
FOR THE NORTHERN DISTRICT OF TEXAS 
DALLAS DIVISION 
NETSPHERE, INC.,  § 
MANILA INDUSTRIES, INC., AND  § 
MUNISH KRISHAN       § 
  § 
  PLAINTIFFS,  § 
  § 
V.  §  CIVIL ACTION NO. 3:09-CV-0988-F 
  § 
JEFFREY BARON AND  § 
ONDOVA LIMITED COMPANY,  § 
  § 
  DEFENDANTS.  § 
THE RECEIVER’S FIRST DYKEMA FEE APPLICATION 
 
  Peter  S.  Vogel,  Receiver  over  Jeffrey  Baron  and  the  Receivership  Parties  (the 
“Receiver”),  files  this  First  Application  for  Reimbursement  of  Fees  and  Expenses  Incurred 
(“First Dykema Fee Application”) by Dykema Gossett PLLC  (“Dykema”) for the period of July 
6, 2012 through July 31, 2012 (the “First Application Period”).  In support of the First Dykema 
Fee Application, the Receiver states as follows: 
I.  SUMMARY OF REQUEST 
Name of Applicant:    Peter S. Vogel on behalf of Dykema Gossett PLLC 
Role in Case:     Counsel to Peter S. Vogel, Receiver 
Application Period:    July 6, 2012 – July 31, 2012 
Summary of Request (July 6, 2012 to July 31, 2012) 
 
 
 
Fees 
 
Expenses
 
 
Total 
Amounts Requested 
 
 
Less:  Amounts Previously Paid 
$237,948.00 
$0.00 
 
$3,563.31 
$0.00 
 
Total Compensation Due  $237,948.00 
100% 
 
$3,563.31 
 100% 
=
 
$241,511.31 
$0.00 
$241,511.31 
 
Total Req. Paid By This Appl.  $237,948.00 
 
$3,563.31  =
 
      $241,511.31 
   
 
 
 
 
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Exhibit A

THE RECEIVER’S FIRST DYKEMA FEE APPLICATION  Page 2 
II.  PRELIMINARY STATEMENT 
In  this  First  Dykema  Fee  Application,  the  Receiver  asks  this  Court  for  approval  and 
allowance  of  all  (100%)  fees  earned  and  expenses  incurred  by  Dykema  during  the  First 
Application Period.  As shown by the record before this Court and the exhibits attached hereto, 
throughout the First Application Period, Dykema has worked diligently on a daily basis to assist 
the  Receiver  in  carrying  out  his  duties  under  this  Court’s  Order  Appointing  Receiver  (the 
“Receivership Order”) and other related orders.  As shown on the record before this Court, the 
Receiver  believes  that  Dykema’s  work  has  resulted  in  identifiable,  tangible,  and  material 
progress in carrying out the Receivership Order and winding-up the Recivership.  Accordingly, 
the First Dykema Fee Application should be approved. 
III.  SUPPORT 
In support of the Dykema Fee Application, the Receiver has attached as Exhibit A hereto, 
a true and correct redacted
1
 copy of Dykema’s Invoice for Legal Services Rendered on Behalf of 
the  Receiver during the  First  Application Period,  detailing all  fees requested  for  payment  by 
Dykema and including narratives of the work performed by Dykema on behalf of the Receiver. 
IV.  REQUEST 
On July 6, 2012, Dykema was substituted in as counsel for the Receiver.  On July 12, 
2012, the Receiver filed his expedited application to approve Dykema’s retention, to be effective 
the  first  day  of  employment,  July  6,  2012  [Doc.  No.  1025]  (the  “Retention  Application”).  
Dykema’s engagement letter was attached to the Retention Application and the Court approved 
the terms of Dykema’s engagement on July 12, 2012 [Doc. No. 1026]. 
                                                 
1
 The Dykema fee statement has been redacted to preserve attorney client privilege and confidentiality. 
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THE RECEIVER’S FIRST DYKEMA FEE APPLICATION  Page 3 
Since  engaging  Dykema,  the  Receiver  has  a)  filed  a  comprehensive  brief  addressing 
numerous consolidated expedited appeals in the Fifth Circuit, b) conducted negotiations with the 
Ondova Chapter 11 Trustee culminating in a joint settlement proposal and Term Sheet providing 
for a comprehensive joint Plan Settlement to wind-down and resolve this case and the related 
Ondova bankruptcy case, c) filed a comprehensive joint Plan and Disclosure Statement in the 
Ondova Bankruptcy Court to implement the joint Plan Settlement, d) identified, negotiated and 
obtained a $4.1 million stalking horse bid for the primary assets of the Receivership, and e) filed 
a Receiver’s Motion in this Court to obtain this Court’s approval of the joint Plan Settlement, the 
stalking horse bid, and the joint plan process. 
Based upon the foregoing work product, the Receiver respectfully requests that this Court 
enter  an  order  (a)  allowing  and  authorizing  compensation  to  Dykema  in  the  amount  of 
$241,511.31, for the period from July 6, 2012, through July 31, 2012; (b) directing the Receiver, 
and  his  agents  or  representatives,  to  immediately  pay  $241,511.31  to  Dykema  from  the 
Receivership Assets to which the Receiver has obtained access to date, and to the extent that the 
Receiver  controls  available  cash  funds.  Given  the  limited  cash  position  of  the  Receivership 
estate, the retention Application calls for the prioritization of payment to Dykema for fees as they 
are incurred.  Therefore, the Receiver asks for authority to prioritize payment to Dykema and to 
immediately pay Dykema from the more than $1.6 million of Receivership cash on hand. 
               Respectfully submitted, 
DYKEMA GOSSETT PLLC 
 
By:   /s/ David J. Schenck 
David J. Schenck 
State Bar No. 17736870 
Jeffrey R. Fine 
State Bar No. 07008410 
Christopher D. Kratovil 
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THE RECEIVER’S FIRST DYKEMA FEE APPLICATION  Page 4 
State Bar No. 24027427 
1717 Main Street, Suite 4000 
Dallas, Texas  75201 
(214) 462-6455 
(214) 462-6401849 (Telecopier) 
 
ATTORNEYS FOR THE 
RECEIVER, PETER S. VOGEL 
 
 
 
 
 
 
 
 
 
CERTIFICATE OF SERVICE 
 
  I hereby certify that a true and correct copy of the foregoing document was served via the 
Court’s ECF system on all counsel of record on September 20, 2012. 
/ By:   /s/ David J. Schenck 
David J. Schenck 
 
 
 
 
 
 
 
 
 
 
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EXHIBIT A 
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