Wednesday, August 27, 2008

Biodiesel plant sale; F&S Oil liquidation get more complicated

The NHRs Luther Turmelle reports:

A court-appointed receiver said Tuesday that a principal in Cheshire Investment Corp. has a $3.65 million agreement with the now-defunct Waterbury company F&S Oil, which collapsed in March.

As (rightfully) upsetting as this topic is to many, it's still worth mentioning one of the underlying goals here - reducing America's dependence on foreign oil. And hopefully the plant will be up and running soon!

Also, it seems to me that these F&S posts generate a lot of comments with which I'm highly uncomfortabe. So I played around with blogger and am hoping that you can comment, but only after you register.

Tim White


Anonymous said...

How many times, before F&S went bust, did Ned Bowman tell a NHR reporter that he was partners with Carr? How many times after F&S went bust did Ned Bowman say he had nothing to do with F&S after he sold his trusted Village Oil Company to F&S? Now we find he had a little bit of a contract with F&S, if you want to call $3.65 million a little bit, it was so small that Ned probably just forgot he had the contract. Some might call this contract the smoking gun, and then there are others that may view it as pile of steaming crap.

Looks like these boys are going to clean up and all the trusting poor dopes will end up getting screwed. I remember that Ned said he felt so bad for all these people and wished there was a way he could help them.

Being a consultant for F&S, I can just imagine his surprise when he heard the news that F&S had gone belly up and left thousands up the creek, stranded without heat and many without their money. How could it happen? You get the impression that Ned was probably consulting right up to the end with everything going so well, and shortly before the final curtain, people were being called, in early 2008, and were offered early prepay contracts for the coming heating season.

So where will it all end? Hopefully the federal investigators will get to the bottom of all this and maybe they have to offer immunity. Hopefully the Biomess plant will be dismantled and sold piece meal to people that can locate it on their own property and who won't have to deal with all the complications involved with its current location. Selling it piece meal will result in less money, but it will be a clean deal and it doesn't look like the customers will get any money, no matter how it is sold.
Breaking up the Bio plant will make sure nobody profits from this mess and it will close this miserable chapter in Cheshire's history.

Anonymous said...

The rich get richer while the rest of us get s**t on.

Anonymous said...

What I’d like to know is just how much were customer bills inflated in order to pay Mr. Bowman about $16,000 per month? I guess adding the rent for the bio facility would raise it almost $25,000 per month.

Surely customers were supposed to be paying this monthly stipend and we all thought prices were going up because of the bad oil selling nations just kept increasing prices arbitrarily.

It seems that maybe a bit of the price increases were home grown by locals and quite deceptive since no disclaimers seemed to appear on anyone’s billing statements explaining just how large of an ongoing monthly stipend was going to a past owner.

Anonymous said...

Maybe Ned can explain what he did for $16,000 a month. How complicated can this oil business be? You buy the oil in New Haven, figure out how much you want make per gallon and top off the custoer's tanks. F&S was doing this before they bought Village Oil.

The Cheshire Herald says that Ned states in an affidavit that he walked away from his $3.5 million contract in July of 2007, but payments to him didn't stop until Jan 2008. Was he being paid from July for doing nothing.

Help! For every answer there are just more questions. When are they going to come clean?

Anonymous said...

112pm, clearly, the business is quite simple. All you need to remember is buy low, sell high. And you need to limit legitimate business expenses to a bare minimum. Doing so should guarantee that at the end of each month there is money in the checking account as well as at the end of each year. Of course for those not bright enough and those not honest enough those simple business concepts don’t exist. Enter the attorney general and DOJ. They have the power in certain cases to turn bad behaviors into truly criminal activities. Time will tell.