Kentucky Mining Co. Files 215k Clawback Against Mountain Petroleum
May 23, 2022, Bankruptcy Court for the Eastern District of Kentucky – Ellen Arvin Kennedy, solely in her capacity as Liquidating Trustee (the “Trustee”) of the Cambrian Liquidating Trust (the “Trust”) begins a legal battle against Mountain Petroleum, LLC (the “Defendant”) to avoid and recover preferential, fraudulent and unauthorized post-petition transfers.
The Debtors in this case are a group of nineteen (19) privately held companies. Cambrian Holding Company, Inc. is the ultimate parent of the Debtors, except for Shelby Resources, LLC.
The Trustee argues that the Debtor, Clintwood Elkhorn Mining LLC, made transfer(s) of an interest of its property to or for the benefit of Defendant during the ninety (90) days prior to the filing of bankruptcy petition (“preference period”) and continued to do so subsequent to the petition date. These transfers aggregated into an amount not less than $215,242.38.
Similar allegations have been made against the Debtor, Premier Elkhorn Coal LLC with the aggregate of transfers estimated as not less than $460,245.90.
The Trustee prays the Court to avoid these transfers under 11 U.S.C. §§ 547, 548 and/or 549 in the aggregate amount of not less than $675,488.28.
Ellen Arvin Kennedy, solely in her capacity as Liquidating Trustee of the Cambrian Liquidating Trust v. Mountain Petroleum, LLC (In re Cambrian Holding Company, Inc., et al.), AP No. 22-5059, US Bankruptcy Court for the Eastern District of Kentucky.