Jonesboro Paper & Chemical LLC recently filed for Chapter 7 bankruptcy protection and listed $1.6 million in debts.
JPC reported $358,000 in assets on its bankruptcy petition filed last month. Its main asset is its 9,300-SF warehouse, which sits on 2.37 acres in Jonesboro. The property’s value is listed at $350,000.
Founded in 2000, JPC operated a redistribution business that bought cleaning, janitorial and other items and then resold them to customers such as colleges.
About $480,000 of JPC’s debts are to creditors holding unsecured claims.
One of its biggest unsecured creditors is Saalfeld Redistribution Co. of Loveland, Ohio, which provided JPC with supplies. It is owed $168,000. Saalfeld also sued JPC in U.S. District Court in Jonesboro in October to collect the money. In addition to JPC, the company’s president, Paul Willis, was named as a defendant because he personally guaranteed the loan.
His name is not mentioned in the bankruptcy filing and he couldn’t be reached for comment.
JPC also owes more than $300,000 in back taxes.
JPC has seen its income fall from $1.4 million in 2009 to $1.2 million in 2010. In 2011, its income dropped to $480,000, according to its bankruptcy record.
The bankruptcy filing didn’t list the names of the officers of the company, and its attorney, Warren Dupwe of Jonesboro, was unavailable for comment on Thursday.
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