Dorula v. Holmes (In re Starlight Grp. LLC)

Ruling: 
Claims filed by creditors who loaned money to the debtor LLC and were told that they had a security interest had priority over claims that were filed by an individual who controlled the LLC.
Issue: 
Whether the claims of creditors who loaned money to the debtor in reliance on security agreements that were ineffective to grant liens on real property have priority over the unsecured claims of a creditor who was not an owner of the debtor but who controlled the debtor and knew that the security agreements were ineffective to grant liens on the debtor's real property?
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Consumer case opionion summary, case decided on June 12,2015, LexisNexis #0715-012