The Restore POC cases are closed after a liquidating-trust wind-down, with the Court entering a Final Decree OrderDkt. 531 on May 8, 2026 and cancelling the last scheduled hearing as resolved through the notice cancelling the May 14 hearingDkt. 532. The debtor began in Chapter 11 on August 29, 2022, when Level Four Orthotics & Prosthetics and affiliated operating entities filed in Delaware after a leveraged acquisition strategy, COVID-era clinic disruption, and a capital structure dominated by Penta-related secured debt left the business pursuing a court-supervised sale path through a Subchapter V case, as described in the first-day declarationDkt. 4.
At filing, Restore POC operated a multi-state orthotics and prosthetics platform serving veterans, elderly patients, underserved populations, and infants, but its prepetition balance sheet carried roughly $20.2 million of loan obligations, including BB&T-originated first-lien debt later held by Penta, extensive Penta second-lien note debt, and a pending PPP forgiveness exposure. The debtor’s proposed restructuring path was not an operating deleveraging plan; management had already determined that a Section 363 sale was the best available route and identified Bionic Prosthetics and Orthotics Group LLC as stalking horse purchaser at a $3.25 million purchase price, while selecting Penta’s DIP proposal over a competing financing offer, according to the first-day declarationDkt. 4.
The case then moved into liquidation and trust administration. The Liquidating Trustee reported that the Court confirmed a Modified First Amended Plan of Distribution on March 3, 2023, the plan became effective March 20, 2023, and David M. Klauder was appointed Liquidating Trustee on the effective date; by May 2026, the trust reported $3.33 million of inflows, $3.21 million of outflows, and a remaining balance of about $121,101 in the Final Report and AccountDkt. 529. Kroll’s final claims work remained active into 2026, including a quarterly register covering claims filed from October 2022 through November 2025 in the Quarterly Claims RegisterDkt. 528.
The closing sequence was uncontested. The Liquidating Trustee certified no objections to the final-decree motion by the April 22, 2026 objection deadline in the Certificate of No ObjectionDkt. 530, and the final decree closed the cases, terminated the claims agent, authorized treatment of unclaimed distributions and remaining assets, and discharged the Liquidating Trustee and related professionals from trust duties under the order.
