On November 5, the Hawaii-based company, Big Island Carbon LLC, filed the necessary paperwork in order to seek Chapter 7 bankruptcy protection. The company, which manufactures carbon from macadamia nut shells grown in Hawaii, has already laid off several employees, including the CEO of the company.
The U.S. Bankruptcy Court documents show that the COO and the Controller of Big Island Carbon LLC were also let go amidst the bankruptcy filing. The papers indicate that the Big Island Carbon project grew to be too expensive, and the funds and grants that were coming in were not enough to fuel the plant’s production. The plant is near completion, and needs approximately $5 million more to be considered finished.
A bankruptcy trustee that will be assigned to the Chapter 7 bankruptcy case of Big Island Carbon LLC will more than likely search for a buyer that is interested in the assets of the biomass plant. The buyer may also choose to finish the production of the plant in order to begin operations.
If you are considering filing for Chapter 7 bankruptcy for your small business, please contact the Chapter 7 bankruptcy lawyers of Hong Law, PLC by calling 319-632-1400 today.
On Friday, Hostess Brands sought the approval of a bankruptcy court to shut down its operations entirely. The company’s decision to close its bakeries and distribution centers came after a national strike of Hostess bakers. The company announced that if the bakers did not return to work on Friday, that it would have no other choice but to close down the company for good.
As a result of the closing, approximately 18,500 Hostess employees will lose their jobs. The company will close 33 bakeries across the country, and an additional 565 distribution centers. Hostess outlet stores are also affected by the closing, and 570 of these stores will shut their doors. Hostess has plans to sell all of its assets to the company that places the highest bid.
Hostess believes that several companies will be interested in some of their iconic brands, including Twinkies, Wonder Bread, and Drake’s Devil Dogs. These brands have the potential to be produced at a new company with a different product line. The bankruptcy filing was made in January, and that was the second time that Hostess filed for bankruptcy protection since 2004.
If your company is facing financial hardships, and you are considering bankruptcy, you need an experienced bankruptcy attorney on your side to help you through this complex process. Please contact the bankruptcy lawyers of Hong Law, PLC by calling 319-623-1400 today.
With California’s fiscal year coming to a close, the city of Stockton, California, is facing bankruptcy.
The state requires all cities to have balanced their budgets by July 1 of every year. As of now, Stockton has a $26 million deficit. Over the past three years, it has been addressing the deficit by cutting various programs from its budget, including a quarter of the police force, nearly a third of the firefighters, and 43% of all other city employees.
If the city continues on its current path, it will be the largest city in US history to go bankrupt.
There are many common reasons bankruptcy situations may arise. If you are facing bankruptcy, contact the bankruptcy attorneys of Hong Law, PLC, at 319-632-1400.
Coralville, IA 52241
Phone: (319) 354-1804
Map to our Coralville Office