In re Blue Stone Real Estate, Construction & Development Corporation

Blue Stone Real Estate's (debtor) owner, James DeMaria, behaved incompetently and uncooperatively while serving as debtor in possession during Chapter 11 proceedings, prompting the United States Trustee Program to move under § 1104(a) to appoint a Chapter 11 trustee based on alleged fraud. In response, Blue Stone asked the court to approve appointing Steven Oscher, an independent, well-regarded bankruptcy accountant, as its chief restructuring officer (CRO). The Trustee Program argued its pending motion for a chapter 11 trustee foreclosed Blue Stone from seeking any management changes of its own.