Lights Out for LEI
by October 31, 2011 11:00 am 119 views
Back in May, Whispers told you about the financial difficulties of Lightning Electric Inc., the Fayetteville-based electrical contractor owned by Jason and Crystal Kuncl.
Those problems apparently proved too much for the company, which filed for Chapter 7 bankruptcy Oct. 12 and is now closed.
LEI, formed in 2000, covered eight states and boasted clients such as Wal-Mart Stores Inc. and Tyson Foods Inc.
In its bankruptcy petition, LEI posted assets of $1.66 million and liabilities of $11.55 million owed to more than 100 creditors. The bulk of the debt is owed to Benefit Bank of Fort Smith, which has a secured claim of $3.33 million and an unsecured claim of $1.44 million.
A foreclosure suit by Benefit Bank against Kuncl Properties LLC, LEI and the Kuncls is listed on the petition as one of four cases pending in Washington County Circuit Court. The bank seeks $2.8 million.
Western Surety Co. of Chicago holds the largest unsecured claim against LEI, of $4.05 million, and is suing for $4 million.
The Kuncls filed for personal bankruptcy July 29, also under Chapter 7, claiming their liabilities of $12.21 million were mostly business-related debts. They listed assets of $768,651.