In Re Badger Mountain Irrigation District, Debtor. Badger Mountain Irrigation District Secured Bondholders' Committee v. Badger Mountain Irrigation District, Badger Mountain Irrigation District Secured Bondholders' Committee v. Badger Mountain Irrigation District

885 F.2d 606 In re BADGER MOUNTAIN IRRIGATION DISTRICT, Debtor. BADGER MOUNTAIN IRRIGATION DISTRICT SECURED BONDHOLDERS' COMMITTEE, Appellant, v. BADGER MOUNTAIN IRRIGATION DISTRICT, Appellee. BADGER MOUNTAIN IRRIGATION DISTRICT SECURED BONDHOLDERS' COMMITTEE, Appellee, v. BADGER MOUNTAIN IRRIGATION DISTRICT, Appellant. Nos. 87-4406, 87-4422. United States Court of Appeals, Ninth Circuit. Argued and Submitted Dec. 16, 1988. Decided Sept. 14, 1989. As Amended on Denial of Rehearing Dec. 6, 1989. Michael Mines, Jack R. Wallace, and Richard S. Ralston, Betts, Patterson & Mines, P.S., Seattle, Wash. for appellant-appellee. Jeffrey C. Krause, Stutman, Treister & Glatt, Los Angeles, Cal., for appellee-appellant. Appeal from the United States District Court for the Eastern District of Washington. Before GOODWIN, Chief Judge, WRIGHT and WALLACE, Circuit Judges. GOODWIN, Chief Judge: 1 The Badger Mountain Irrigation District (the "District") is in chapter 9 bankruptcy. Its Secured Bondholders' Committee (the "Bondholders") has certain lien rights on property in the District's possession. The Bondholders claim that, notwithstanding bankruptcy, they have the power to enforce those…