Legal Question in Bankruptcy in Kentucky

The question is more about what his interest is in the funds. The board's bylaws should specify those interests. It is almost certainly the case, though one should double check, that he has no personal interest in the funds. That his only authority over the funds comes from his role as an officer. In other words, he could not withdraw those funds for personal use unless he violates his fiduciary duty and the law.

The trustee's interest in those funds through the bankruptcy are limited to what the officer's personal interests are: that is - zero.

So, the short answer is that the funds are safe, but double check the bylaws.