Tag: Bankruptcy

Freedom Industries Wants to Sell to Related Business

The now-bankrupt company at the center of West Virginia’s chemical spill wants to sell what’s left at its other site to a company tied to former executives.

Freedom Industries filed court motions Monday seeking permission to sell chemicals and property in Nitro at Poca Blending, which Freedom leases. Lexycon LLC would be the buyer.      

Lexycon President Kevin Skiles and independent consultant Dennis Farrell are former Freedom executives. The company was formed in Florida in March.

Freedom’s motion says the sale would save $387,000 in net costs, like potentially demolishing the Poca site. Instead, Freedom would sell to Lexycon for $575,000.

Dozens of businesses suing Freedom are among the creditors seeking its dwindling assets.

The Jan. 9 spill contaminated 300,000 people’s water for days. Freedom filed for bankruptcy Jan. 17.

Freedom Industries Hires Firm to Keep Emails, Data

The West Virginia company at the center of a January chemical spill is hiring experts to preserve emails and phone records for ongoing investigations.
 
Freedom Industries will pay Vestige Ltd. about $42,500 to maintain electronic evidence, which is needed for a U.S. Attorney’s Office investigation and other chemical spill inquiries.
 
Freedom attorney Steve Thompson says the data firm started collecting information around Feb. 1, when the U.S. Attorney’s Office was issuing grand jury subpoenas. Judge Ronald Pearson approved Freedom’s request in bankruptcy court Tuesday.
 
Thompson says some records are with former Freedom executives.

Court documents show the company’s environmental cleanup bill topped $911,000 in January. Freedom expected another $1.7 million in environmental costs from mid-February to mid-March.
 
Freedom’s Jan. 9 spill contaminated drinking water for 300,000 people for days.
 

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