Gas processing and treating equipment supplier Allied Equipment, Inc. filed for Chapter 11 bankruptcy on March 18, 2021, citing an estimated $1-$10 million in liabilities within the petition.
According to the US Bankruptcy Court for the Western District of Texas, Allied Equipment names 104 creditors within a mailing matrix.
Under a Chapter 11 bankruptcy filing, the debtor is authorized to reorganize their business affairs, assets, and debts in order to keep the business intact.
Allied Equipment’s bankruptcy petition includes a listing of creditors with the largest 20 unsecured claims. Of the 20 creditors, 19 are contractors and material suppliers:
- Industrial Piping Specialists – $223,428.78
- ETR Service LTD – $206,300
- Rosemount, Inc. – $169,474.64
- OGT Engineering & Construction – $157,507.80
- Proflow Plumbing Solutions – $155,460
- West-Tex Insulation Inc. – $132,444
- Shamrock Steel Sales, Inc. – $129,201.22
- 5-Star Installations – $128,831.90
- Baughman Hollywood Blasting & Coating, LLC – $128,056.87
- Port City Metal Services Inc. – $125,518.50
- UP&S, Inc. – $106,675.85
- Pro Inspection, Inc. – $90,442.50
- Filtration Group Process Inc. – $89,064.12
- Hollywood Blasting Coating – $72,163
- Prime Controls L.P. – $59,060
- Westair-Praxair Distr., Inc. – $45,328.31
- Bryan Research & Engineering, Inc. – $39,725
- North Shore Steel – $38,964.82
- Edgen Murray Corporation – $38,757.78
Allied is not the only Texas company currently facing bankruptcy. Following the statewide disruption caused by the February 2021 winter weather event, multiple Texan companies — especially in the energy field — are facing bankruptcy and construction debt.
Allied faces two pending lawsuits from creditors
Allied Equipment faces at least two pending lawsuits from creditors. Both ETR Service, LTD and Rosemount, Inc have filed suit against the equipment supplier over an alleged breach of contract.
According to the US District Court for the Eastern District of Missouri, Rosemount, Inc. filed a pending complaint against Allied Equipment on February 21, 2021. ETR Service, LTD brought their suit in the week leading up to Allied’s bankruptcy filing.
Court documents state Rosemont, Inc.’s complaint was filed “for breach of contract, action on [the] account, and quantum meruit arising from Allied’s failure to pay amounts owed on invoices issued by Rosemount and for products manufactured and delivered by Rosemount to Allied.”
Rosemount’s complaint states the unpaid invoice, worth $169,400, dates back to January 6, 2021.
According to the bankruptcy petition, Allied Equipment holds an estimated $1-$10 million in assets.