Cultureculturewhossideareyouon

Thu Aug 8, 2019, 06:58 AM

black jewel bankrupt. stiffs miners with rubber paychecks

will you be cheering when these poor miners are brutally suppressed?

https://readersupportednews.org/news-section2/318-66/58048-harlan-county-miners-are-blocking-trains-full-of-coal-until-they-get-their-back-pay

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Response to rampartb (Original post)

Thu Aug 8, 2019, 07:19 AM

1. It's too bad, but that happens a lot of times when a business goes bankrupt.

By the way.....Harlan County, Kentucky.....isn't that one of the most rigorously-controlled Democrat machines in history, and in the country, until recently, when the voters became sane?

One wonders what connections and arrangements the owners of the coal company had with the political bosses back then, that still exist today. I imagine there's some.

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Response to imwithfred (Reply #1)

Thu Aug 8, 2019, 07:41 AM

2. The owner is a crook.


Bombshell #4: Hoops regularly transferred money between Blackjewel and other accounts he controlled. Hoops’s bankruptcy testimony describes $79 million in transfers between Blackjewel and other bank accounts he controls, including personal accounts. All told, Hoops says that he transferred $45 million into the company, and $34 million out of it—meaning that, by Hoops’s accounting, Blackjewel still owed him $11 million. Many of the transfers seemed suspicious: he would sometimes transfer money into and out of Blackjewel on the same day, presumably to prevent specific checks from bouncing. (A lawyer for a key lender described Hoops’s actions as “check kiting.”)
Meanwhile, Blackjewel acquired a reputation for not paying its bills, particularly tax bills. According to a bankruptcy filing, the company owes $60 million in unpaid royalties to the federal government; $37 million in taxes to Campbell County, Wyoming; $11 million in back taxes to the state of Wyoming; $6 million to the state of Kentucky; $1.6 million to Virginia; $2.2 million to the federal Office of Surface Mining; and well over $100 million more to equipment manufacturers, local vendors, and other creditors.

Bombshell #6: The payments from Blackjewel to Hoops may be “unwound” in bankruptcy. Hoops seemed to think that any “repayments” of “loans” were just a normal part of Blackjewel’s day-to-day operations. But any competent bankruptcy lawyer could have told him otherwise. In the year before a company declares bankruptcy, payments by a company to an insider—such as the CEO and board chair, two positions held by Hoops—are a no-no. They’re called “preference actions,” meaning that Hoops preferred to pay off his own loans before paying off any other creditors. So in theory, Blackjewel’s creditors could try to claw back up to $34 million in transfers that Hoops made from Blackjewel to his private accounts.

Bombshell #7: Hoops credited the BLM for being “accommodating.” When it filed for bankruptcy, Blackjewel owed the US Bureau of Land Management $60 million in unpaid royalties for coal mined on federal land. Rather than calling Hoops’s company to account, the BLM put the company on a payment plan that allowed it to continue mining—something that Hoops said was unthinkable for a private land company.

https://www.sightline.org/2019/07/09/blackjewel-bankruptcy-seven-bombshells/

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Response to uncledad (Reply #2)

Thu Aug 8, 2019, 08:11 AM

4. ''The owner is a crook''...yep! And it's telling that no one noticed, or cared, until now.

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Response to quad489 (Reply #4)

Thu Aug 8, 2019, 05:37 PM

8. Coal crooks are a family board of directors affair

Here is the tricky part – the numbers. When Alpha filed for Chapter 11 bankruptcy in August of 2015, they owed West Virginia $244 million in self-bonding obligations. The WV Department of Environmental Protection had previously allowed reductions to what Alpha owed in self-bonding in . Under a deal with a U.S. bankruptcy court, Alpha emerged from bankruptcy in July of 2016, promising to pay $292.7 million for clean-up obligations for its mines nationwide. Basically, Alpha now owed nationwide what it has owed in West Virginia alone before it made the deal with WVDEP (or at least that’s how we understand it). Nonetheless, regulators settled on this deal because they feared Alpha would liquidate and walk away from its clean-up obligations altogether. Alpha has also already transferred some of their assets and reclamation obligations to Contura Energy, a company started by former Alpha CEO Kevin Crutchfield

One has to wonder why the WVDEP would allow a company with connections to the same people as Revelation Energy to take over Alpha’s abandoned reclamation responsibilities. Revelation and Lexington Coal even share the same address in Milton, WV, for their principal office. And Steven Poe was listed as manager on the WV Secrecy of State’s website, after Patricia Hoops, as of September—just weeks before the deal with Alpha was finalized. Maybe they were hoping we wouldn’t connect the dots?

So, to absolve itself of paying most of the bonding money it owes the state of West Virginia, Alpha has sold its unreclaimed mines to a company with connection to already-known bad operators. Sounds about par for the course for the coal industry. It’s really no shocking revelation, pun intended. When Alpha bought out Massey Energy, Alpha started using the tag line “Running the Right Way,” even changing the address of its Boone County office from Morgan Massey Drive to Running Right Way. Maybe Alpha should update its slogan to “Running Away.”

https://ohvec.org/alpha-bonding/

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Response to uncledad (Reply #8)

Thu Aug 8, 2019, 05:49 PM

9. Yep, a thorough independent cavity search deep investigation of WVDEP & Alpha/Revelation/Lexinton...

"One has to wonder why the WVDEP would allow a company with connections to the same people as Revelation Energy to take over Alpha’s abandoned reclamation responsibilities. Revelation and Lexington Coal even share the same address in Milton, WV, for their principal office. And Steven Poe was listed as manager on the WV Secrecy of State’s website, after Patricia Hoops, as of September—just weeks before the deal with Alpha was finalized. Maybe they were hoping we wouldn’t connect the dots?"

...sure seem warranted here with an expectation that people from both should surely be doing some long jail time for all this BS.

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Response to imwithfred (Reply #1)

Thu Aug 8, 2019, 07:50 AM

3. Harlan County, KY

I bought a "dipper" of shine there once at a gas station. Good stuff. Blow the top of your head off.

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Response to rampartb (Original post)

Thu Aug 8, 2019, 12:12 PM

5. I'm sure some are rooting for the cops to go crack some heads.

How dare they block the tracks. .

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Response to SatansSon666 (Reply #5)

Thu Aug 8, 2019, 04:08 PM

6. what kind of sick economy makes these people dig coal for a week and not get paid

while the bosses, who have been digging golf balls out of sand get bonuses?

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Response to rampartb (Reply #6)

Thu Aug 8, 2019, 04:34 PM

7. Workers don't mean shit to those pick.

If you don't stand with the workers in this country you are an asshole and I say that as an employer.

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Response to SatansSon666 (Reply #7)

Thu Aug 8, 2019, 05:50 PM

10. Hear Hear

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