No checks yet for Arrow Trucking employees

[Maria]

Nearly a year after Tulsa-based Arrow Trucking’s collapse just three days before Christmas in 2009, it appears checks may be arriving in the mail soon for nearly 550 former employees and drivers, pending court approval. But as of Friday, Dec. 3, those checks have not been mailed.

On Thursday, Dec. 2, Arrow Trucking bankruptcy trustee Patrick J. Malloy III submitted an amended distribution list for priority wage claims for approval by U.S. Bankruptcy Court Judge Terrence L. Michael.

Malloy is proposing a payout of nearly $2 million in back wage and benefit checks to former Arrow Trucking employees and drivers.

If approved, there will still be a balance of more than $1.5 million to pay “future administrative claims and additional payments to the priority wage claimants, which have been filed to date and which may be filed in the future.”

In mid-November, Malloy told Land Line that he had hoped that checks could be issued to ex-employees “around the first of December.”

So far, he said they have been fortunate to recover approximately $4.6 million, considering the Chapter 7 bankruptcy liquidation petition that was filed back in January, which listed assets at $8.55 million and liabilities at $98.97 million.

“We had to fight for most of it,” Malloy said.

source

 

[boone315]

From what I understand, this is what led up to Pilot buying Flying J, Alliance bank had let Arrow trucking barrow so much money, that when they went belly up, the bank which was the financier of Flying J had to call in all their loans to stay solvent so Flying J just sold out.