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Closed Illinois trucking company files for bankruptcy
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Closed Illinois trucking company files for bankruptcy

An Illinois-based trucking company that once hauled general freight, beverages and paper products recently filed for bankruptcy and was liquidated.

Mighty Move Transportation LLC of Dolton, Illinois, had 70 powertrains and 75 drivers at the time of its closure, according to the Federal Motor Carrier Safety Administration SAFER Website.

The five-year-old Mighty Move Transportation, which also transported liquids and gases, filed its petition in the U.S. Bankruptcy Court for the Northern District of Illinois on Thursday. The petition lists Charles W. Sanders as CEO of the trucking company. No reason was given as to why the carrier, which also had a branch in Fort Wayne, Indiana, filed for Chapter 7.

Mighty Move Transportation is represented by bankruptcy attorney Charles L. Magerski of CLM Law Group, PC in Lansing, Illinois.

FreightWaves has contacted Magerski and Sanders for comment.

In its Chapter 7 petition, Mighty Move Transportation lists its assets at up to $50,000 and its liabilities at between $500,000 and $1 million. The company, which has up to 49 creditors, maintains that no funds will be available for distribution to unsecured creditors once administrative fees are paid.

According to Mighty Move Transportation’s financial data, its gross revenues from January 1 through the bankruptcy filing date were approximately $2.3 million. His petition says the company earned nearly $4.5 million in 2023 and about $4.7 million in 2022.

According to the FMCSA, Mighty Move Transportation’s operating license was granted in March 2019 and remains active, along with its property damage and bodily injury (BIPD) insurance. In the past 24 months, Mighty Move Transportation has not conducted any driver or vehicle inspections and there have been no reported fatalities, injuries or towings during the same period, according to FMCSA data.

Four months before the company closed and filed for bankruptcy, Mighty Move changed the number of powertrains from 50 to 70 on its MCS-150 form. It has retained the same number of 75 drivers as previously stated in its previous filings.

Among the company’s largest creditors with the largest non-priority unsecured claims are RTR Recovery LLC of New York, New York, which owes nearly $194,000; Fundworks LLC of Salt Lake City, Utah, is owed more than $113,000; and Apollo Funding Co. of East Rochester, New York, which is owed more than $102,000.

Sanders, on behalf of Mighty Move Transportation, requested and received a Paycheck Protection Program (PPP) from Self-Help Credit Union for nearly $408,000 in May 2020, from Self-Help Credit Union. Its application said Mighty Move Transportation had 110 trucking jobs and had monthly payroll costs of nearly $408,000. The trucking company’s loan amount was forgiven for more than $413,000, including accrued interest.

A meeting of creditors has been set for December 4.

Lawsuits for breach of contract

The bankruptcy filing says two breach of contract lawsuits have been filed against the trucking company, including one against Mighty Move Transportation LLC, Mighty Move Transportation and Sanders, filed by Apollo Funding in County Supreme Court from Monroe to Rochester in September 2024.

A second breach of contract lawsuit was filed against Sanders and the carrier in October by DMKA LLC, doing business as The Smarter Merchant, in Kings County Supreme Court in Brooklyn, New York.

Sanders also filed for bankruptcy Wednesday in the U.S. Bankruptcy Court for the Northern District of Illinois. In his petition, which asks that Chapter 13, if approved by the bankruptcy court, would allow him to repay his debts over a period of time. In his motion, he lists RTR Recovery and Apollo Funding as having non-priority unsecured claims. He also listed in his petition the two breach of contract lawsuits filed by merchant cash advance companies, DMKA and Apollo Funding, which name him and his trucking business personally.

A meeting of creditors has been set for November 20 in Sander’s personal bankruptcy case.

Click here to read more articles by Clarissa Hawes.

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