Approximately 150 tractors and refrigerated trailers once belonging to Cross Creek Trucking of Central Point, OR, will be auctioned off on April 25.
David Levy, president of Utica LeaseCo of Utica, MI, told Land Line that Maynards Industries of Southfield, MI, will be handling the sale of the equipment at the Jackson County Fairgrounds in Central Point, OR.
Levy’s company acquired the equipment for $3.4 million in December 2011, then leased it back to Cross Creek and its parent company, Integrated Freight Corp. of Sarasota, FL. They were unable to make the necessary equipment lease payments.
Cross Creek, which had about 200 employees at one time, never reopened after it shut down because of financial problems in December. Some Cross Creek drivers were stranded after its operating authority was involuntarily revoked by the Federal Motor Carrier Safety Administration around that time for failing to carry the necessary $750,000 insurance policy.
Since that time, the executive offices of Integrated Freight have been closed as well and have “substantial unpaid obligations,” according to their March 2012 SEC filing.
“Unfortunately, the company wasn’t able to succeed in their efforts to restart and Utica is the owner of the equipment and will be auctioning it for its own benefit,” Levy said. “Unfortunately, they weren’t able to get the additional funds necessary for insurance, operating and fuel to get the company restarted successfully.”
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