Freedom Industries Files for Bankruptcy Protection

[swag]

Source: Wall Street Journal

Freedom Industries Inc., the company connected to a chemical spill that tainted the water supply in West Virginia, on Friday filed for Chapter 11 bankruptcy protection.

A petition signed by the company's president, Gary Southern, estimates the Freedom's debts at $10 million or less, but the cost of disaster is likely to run much higher.

Thousands of gallons of an allegedly toxic chemical called crude MCHM contaminated the water supply for hundreds of thousands of the state's residents for days, spawning lawsuits from businesses and people affected by the disaster.

Bankruptcy offers Freedom a break from having to answer the suits, some of which demand punitive damages. It also opens the door to court-supervised probes into what led to the disaster, and what resources are available to pay any damages.

Read more: http://online.wsj.com/news/articles/SB10001424052702304419104579326840913801408?mg=reno64-wsj&url=http%3A%2F%2Fonline.wsj.com%2Farticle%2FSB10001424052702304419104579326840913801408.html

[meegbear]

1. Of FUCKING course ...

and they'll get too. The pricks.

[Berlum]

2. Republicons going AWOL from responsibility

As always.

What a screw job.

[DainBramaged]

3. And the people of West Virginia are fucked

who would have thunk it?

[stg81]

11. will they finally learn their lesson and stop voting GOP?

[mimi85]

15. Sadly, probably not. nt

[AlinPA]

17. Hell no. The GOP will wave their bibles and praise Jesus and God and the dumb asses will run to the

polls to vote for them.

[MyNameGoesHere]

25. Yeah you're right, exactly like the western part of PA does.

I am assuming you are from western PA because you seem to understand the politics of my state which coincides directly with the dumb asses of your state. I could be wrong.

[AlinPA]

33. Yep. You're right.

[rdharma]

4. I'm shocked!

Who would have thought it?

[Demo_Chris]

5. That's one main advantage of a corporation. nt

[valerief]

6. Because Republicans CARE. nt

[leftyohiolib]

7. privatize profits socialize losses

[jeff47]

8. About as surprising as a sunrise. (nt)

[KoKo]

9. Who coulda known?

So they weren't keeping up their tanks and facilities but probably paying the Top Guys big bucks and now they say...Oopsie...No money.

So who takes care of the cleanup? The poor taxpayers of WVA.

[stg81]

10. the GOP made sure individuals can hardly file for bankruptcy protection. Sickening.

[Psephos]

29. What's really sickening is that the bankruptcy reform had a lot of Dem backing, too.

Bankster welfare. Courtesy of the bought-and-paid.

[Enrique]

12. Because Freedom

[Downwinder]

13. Wonder if that will effect the recent change of ownership?

[Gordon Alf Shumway]

22. You can bet it will ...

They need to look for fraud there. Odds of Fraudulent Conveyance = 90% I'd bet.

[QuestForSense]

14. Perfect timing, right on cue.

[Journeyman]

16. That's surprising. . .

that it took so long.

[dickthegrouch]

18. New Rule!

Just as it is illegal to destroy evidence of a crime, especially if you have been notified of an investigation, it should be illegal to file for bankruptcy until all possible damages claims have been resolved.

If the company files for bankruptcy, the individual owners should automatically become liable in proportion to the amount of stock they owned at the time of the cause for action.

[freshwest]

19. SOP. Note it's a Chapter 11 to protect their assets and not pay for damages, likely. SSDD! Likely

they will re-organize and come back as Pure and Natural Energy or Rainbow of Warmth and Happiness or some other claptrap name as privateers do when the kill people with contracts.

Swept under the rug and covered by insurance, but marketed under a new name, and a sealed settlement. Oh, they'll still be doing the deed, and they've paid Boehner directly to protect their interests, the health of Ohio, WV and KY be damned.

Within a few news cycles, the meme will be: Never happened! Nothing can go wrong!

[Gordon Alf Shumway]

20. Pierce the Corporate Veil ...

How much equity do you think the owners kept in this turkey? Probably about $50, especially after that odd merger a few months back. Looks pretty fishy now. They need to pierce the corporate veil and go after the officers, directors, owners. There also needs to be criminal prosecutions. They are not a bank, so it may be possible. Bankers always walk ...

[dorkzilla]

21. …but…but..but...if we deregulate, then companies will chose to do the right thing because of the

…free hand of the market! RAND PAUL SAID SO, SO IT MUST BE TRUE!!!!!!!

[Scalded Nun]

23. At some point the greedy rat bastards in this country need to be held accountable.

The politicians enable these people/corporations/etc. and the voters enable the politicians.

Expect this to not only continue, but to get worse, until voters demand accountability via the ballot box.

And if we wait too long that might disappear as well!

[PRETZEL]

24. Not suprising

If debs are less than 10 million, what are the assets worth?

Are the Freedom's debts listed pre or post merger? Was the merger a vehicle for purchasing debt for cash?

Would be interested in knowing when Freedom's merger talks began.

[herding cats]

26. Why aren't businesses like this required to carry insurance to cover a possible disaster?

There should be a way to come up with a formula to figure out what potential damage could be done by a facility using dangerous chemicals on a watershed, or other such possible disasters. Then make them insure themselves or don't issue a license to handle the material. If they can't afford the insurance, then they shouldn't be in that industry. Insurance companies could require such facilities remit proof of inspections regularly as a condition to maintaining their coverage. smh

[Turn CO Blue]

27. Of course they did :/ Related:Erin Brockovich arrived there a couple of days ago. n/t

[Bennyboy]

28. HuGe! Surprise!

Now, they will get sold dime on the dollar, to a company that is probably related through some way and give the liability to the taxpayers. The republican way, privatize the profits, socialize the risk.

[workinclasszero]

30. Poison the well then run out of town without paying for it

Smells like..unrestricted capitalism. Yeah. Hows that working out for you West Virginia?

Birth defects and early cancers on the way. Thank god no evvvvvillll goobermint agency was allowed to interfere with Freedom industries right to profit off the misery of the citizens of WV!

[Botany]

31. Thanks for everything but we gotta get running .... Freedom Industries

Last edited Sat Jan 18, 2014, 09:53 AM - Edit history (1)

[underpants]

32. Hey look it was a good 17 day run. Let's pack it in and count our money.

http://mobile.businessweek.com/articles/2014-01-13/meet-freedom-industries-the-company-behind-the-west-virginia-spill

Freedom Industries is the product of a merger effective Dec. 31, 2013, that combined Etowah River Terminal, the facility where the leak occurred, Crete Technologies, and Poca Blending, located in nearby Nitro.

[CanonRay]

34. Once again the ultimate Libertarian end game.

Another "free market" triumph.

[Laf.La.Dem.]

35. Do not worry - corporations are people

The corporation will go to jail

[NorthCarolina]

36. Is this a good example of industries self regulating themselves? nt

[Aldo Leopold]

37. "...tainted the water supply..."

And "allegedly toxic".

Fuck the WSJ! And Freedom Industries, obviously.

[NBachers]

38. Chapter and verse from the Republican Playbook

[busterbrown]

39. Problem is local’s are so worried about the job element.

Should be a law that a company be held responsible for employees salary and benefits if they close because of negligence costs.. 1 year!

[wandy]

40. And as if we didn't see that coming..........

And so it goes.
Sometimes ya just want to........................

[AzDar]

41. I reckon they should change their name to Freedom-From-Responsibility Industries...

[shenmue]

42. Put all the execs in jail

[Brigid]

43. Time to revive the Redneck Army.

That is all.

[muriel_volestrangler]

44. Kick (nt)

[Turbineguy]

45. GOP voters probably think

there will be a french fries shortage as a result.

[alp227]

46. link is paywalled, but archive.is gets around the paywall

http://archive.is/JF1gq

[mikekohr]

47. sons of bitches