Trucking News

Arrow Trucking plan revealed

November 12, 2010

 | by: Jill Dunn

Pending court approval, Arrow Trucking’s bankruptcy trustee will distribute $2 million to former employees for back wages and benefits, with more than $1.5 million remaining for other claims.

Parties objecting to the Nov. 8 relief plan must file responses by Dec. 3. The proposed relief provides payments in varying amounts – each less than $7,000 – to a list of claimants 13 pages long. This represents nearly 59 percent of the $3.5 million in wage claims, noted Trustee Patrick J. Malloy III.

Malloy proposed leaving more than $1.5 million for future administrative claims and for payments to ex-employees, both for wage claims already filed or that may be filed.

A previous bankruptcy order entitles Charles Ercole, a New Jersey attorney for 232 former employees and creditors, to one-third of the distribution his clients receive.

So far, 950 creditors have filed claims in the bankruptcy case.

The Tulsa-based flatbed carrier petitioned for Chapter 7 bankruptcy in U.S. Bankruptcy Court for the Northern District of Oklahoma Jan. 8, while faced with lawsuits from unpaid employees and creditors. The consolidated bankruptcy includes Arrow Truck Leasing and Arrow Truck Real Estate companies.

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