***Aug. 4, 2022 Update: Lawsuit settled between Graham County Land Company, Flexible Funding
Tallulah – A public auction to liquidate Graham County Land Company’s fleet of vehicles and equipment is awaiting court approval, with proceeds going to pay down more than $13 million owed to the company that once backed it financially.
Graham County Land Company had been one of the county’s largest civilian employers, with operations in several states in addition to North Carolina. It has been struggling financially since 2019, with the situation worsening amid COVID-19 starting in March 2020.
Several companies filed lawsuits against Graham County Land Company; mostly subcontractors that worked with the company on a variety of projects around the country.
San Francisco-based Flexible Funding provided loans and alternative financing to Graham County Land, which continued to fall deeper into debt. As its largest creditor, Flexible Funding – amid bankruptcy restructuring of its own – has taken the lead in actions against Graham County Land Company and stands to gain most or all net proceeds from liquidation.
As part of Flexible Funding’s lawsuit, a general receiver was appointed in October and – according to court documents – is “winding down” Graham County Land operations. The general receiver, Alan Weiner, is senior managing director of Focus Management Group, headquartered in Chicago. Weiner is a turnaround and restructuring specialist.
Focus Management Group has been paid about $50,000 per week since October in fees and expenses above and beyond Graham County Land Company’s normal operating expenses, according to court documents.
An attempt to contact Weiner has been unsuccessful. His attorney, Anna Gorman of Grier Wright Martinez, P.A., declined to comment.
Graham County Land Company was placed in receivership in bankruptcy court in October and the case was remanded to North Carolina Business Court in November.
Weiner has asked the court to approve auctioneer PPL Group LLC out of Northbrook, Ill., to handle the liquidation auction.
PPL Group will receive a commission on the auction no greater than $70,000, as well as a 12 percent buyers’ premium (with an additional 3 percent paying online service providers).
Graham County Land’s fleet is spread out over three locations: Robbinsville, Middleburg, Fla., and Oroville, Calif. More than 420 items are listed in court filings, ranging from earth movers and pickup trucks to light towers and message boards.
Randy Jordan, former president, CEO and managing partner of Graham County Land Company, initially declined to be interviewed by The Graham Star, but on Nov. 23 said he would submit a written statement.
A written statement has not yet arrived.