BANGOR, Maine — A federal bankruptcy judge has been asked to approve an unconventional proposal to settle more than $300,000 in debt that an Eagle Lake convenience store, co-owned by Rep. John Martin, owes creditors.
Martin, a Democrat and former speaker of the Maine House, is running for re-election in House District 1, which includes Eagle Lake and Fort Kent.
His Bald Eagle convenience store is located on Route 11 in Eagle Lake. Until September, it was owned by Eagle Lake Outfitters Inc. Martin owned 50 percent of the firm and Gary Voisine of Fort Kent owned the other 50 percent, according to court documents. Voisine was listed as president.
Eagle Lake Outfitters filed for Chapter 11 bankruptcy protection in February, according to documents filed in U.S. Bankruptcy Court in Bangor. Chapter 11 of the Bankruptcy Code allows a business to petition the court so it can reorganize its debt.
The bankruptcy came to public attention in March during a hearing on a bill Martin sponsored to allow mining on Bald Mountain in Aroostook County. Martin addressed the Legislature’s Environment and Natural Resources Committee to dispel rumors that he had a conflict of interest because of the bankruptcy debt, according to a previously published report by the Maine Center for Public Interest Reporting.
Last month, U.S. Bankruptcy Judge Louis H. Kornreich approved the sale of Eagle Lake Outfitters Inc. to Bald Eagle Inc. for $125,000, according to court documents. Bald Eagle is a new enterprise formed by Martin and Voisine.
That $125,000 is all that is left in the “estate” of Eagle Outfitters, according to court documents. It is being administered by Bangor attorney Michael S. Haenn, who was appointed by the judge to act as the bankruptcy trustee in the case.
The store continues to operate at 3318 Aroostook Road.
On Monday, the Portland attorney representing Irving Oil Marketing, which is owed more than $250,000, filed a motion to dismiss the case and suggested a way to pay creditors a portion of what they are owed.
Randy Creswell asked Kornreich to approve a structured settlement under the Chapter 11 rules rather than convert the case to Chapter 7.
Chapter 7 requires the liquidation of a firm under specific rules and the administration of the court, according to Black’s Law Dictionary.
“Irving believes that a structured dismissal is far superior to either the conversion of the case to Chapter 7 or a time-consuming liquidation plan, because, ultimately, the same result will be achieved by a structured dismissal, but in a short amount of time and at a substantially lower administrative cost to the estate and its creditors,” Irving’s attorney wrote in his motion to dismiss.
A structured dismissal would allow creditors to receive a portion of the money they are owed.
When Eagle Outfitters filed for bankruptcy, it listed debts of more than $300,000, including more than $250,000 owed to Irving Oil Marketing Inc. of Portsmouth, N.H. Irving last year obtained a lien for $250,925 against Eagle Lake Outfitters in Kennebec County Superior Court. The firm also owed $259 to Eagle Lake Water & Sewer and $2,960 in property taxes to the town of Eagle Lake.
Creditors included the Internal Revenue Services, owed about $4,455 in withholding taxes for the last quarter of 2011; the Maine Revenue Services, owed nearly $1,700 in sales taxes for 2011; and the Maine Department of Inland Fisheries & Wildlife, owed more than $2,000 for licenses and regulations, according to documents filed in February. It owed other creditors $39,470, including more than $600 to MEMIC for workers’ compensation insurance.
The property taxes owed Eagle Lake and the money owed the local water district were paid when Bald Eagle purchased Eagle Outfitters, according to court documents.
The filing said the company had about $6,800 on hand in cash and its bank accounts. Accounts receivable were listed as $12,550.
The real estate where the store is located was valued at $85,000 and the inventory and fixtures were assessed at $27,500.
Under the rules of bankruptcy court, the trustee and accountant would be paid the full amount they are owed along with the IRS and DIF&W. The remaining money would be paid out to creditors on a prorated basis.
For example, if there were $100,000 left in the estate after administrators and government entities were paid and if the money owed Irving was 80 percent of the total amount of debt, Irving would receive $80,000.
A hearing on Creswell’s motion is scheduled to be held Nov. 29 before Kornreich.
Haenn has until Nov. 21 to file an objection to the motion.
Efforts to reach him Tuesday were unsuccessful.
I would not expect anything but a “special” deal for John Martin…………………..
Irving wants to keep Martin happy so he will keep approving their mining projects. “forward” is the new democrat montra.
Er, uh, that would be, “mantra,” and far from a Democratic stronghold,thought…unless you choose to ignore the Medicare funds that our current Speaker of the House, Nutting, still owes, due to questionable practices when he owned a pharmacy.
Fine put them both in prison.
There’s more to “The Rest Of The Story”
http://www.fiddleheadfocus.com/content/rep-martin-partner-will-buy-back-bankrupt-store-less-half-debt
No conflict of interest here, Taxpayers and citizens of Maine just move on.
A very well connected politician with a lot of favors owed him.
and not afraid to call in those favors when needed
BS
I thought only rich republicans got special deals. Well…..that’s what the Dems. keep saying.
Political bosses always get taken care of, regardless of stripe. That’s how you know they really all the same, no matter what they tell you.
BS
So where did all the money go, John ??
i think paul violette was sneeking it away from him while he wasn’t looking… maybe johns eyes were closed…
Humph? And we let him have all that power for how many years? What do you think Paul….Have not heard much from you lately….On VaKa in Florida?
I can’t even look at his photograph without my blood boiling. A cozy bankruptcy? That’s nothing! What is more worthy of distain & un-democratic than ballot tampering? Let’s take a look back at 1993:
PORTLAND, Me. — A top aide to the Speaker of Maine’s House of Representatives pleaded guilty Wednesday to burglary and ballot-tampering charges in a case that has raised questions about the state’s practice of having the Legislature appoint the secretary of state and attorney general.Kenneth Allen, executive assistant to Democratic House Speaker John Martin, offered his plea in state Superior Court in Augusta. It came 12 days after another legislative aide, Michael Flood, pleaded guilty to breaking into a ballot storage room in the State Office Building on Dec. 11 during a recount, to alter ballots in favor of Democratic candidates in two closely contested elections for the Maine House.
Say it isn’t so….Morally corrupt democrats, who woulda thunk it.
No…only Rs can be morally corrupt. When John Martin has problems, it shows the depth of the economic downturn…caused by an R, naturally.
Corruption affects both parties, so don’t get so defensive, ok?
Your link to the final outcome that found “Martin” guilty of conspiracy, ballot tampering, or burglary is missing. Or did your boiling blood fail to see the hypocrisy of your statement.
People forget quickly don’t they.
Just another day in VacationLand.
I guess it would have been too transparent for Irving to let him off the hook for his efforts in their behalf during the last legislature. Back room deals??
I read this three times, Oh I know I am not from the County, but I could not make heads or tails out of all said, who owns what, is the store remaining open, seems Irving was the only one really owed any real money, somehow I was under the thought that gasoline was not a credit thing, well, why does not Irving just buy the store, Martin, he must be 105 years old, I remember hearing the John Martin of Eagle Lake, and his deals back in the 70’s, I think, well, anybody translate all this.
Gasoline can be a credit thing if you own a store and are also a State Legislator and at one time The Speaker of the Maine House. You can also get a cushy deal on your bankruptcy if you propose legislation that is favorable to your primary creditor.
BS
Would you care to offer a better explanation for a deal that is so beneficial to Martin. The facts of his bankruptcy are facts. Of course you would say BS, he is a Democrat and you must come to his defense regardless.
Check out the link provided by boww8t below.
I was commenting on your explanation for which you have no basis.
You implied he received the cushy deal but have no evidence and that makes your statement the equivalent of gossip.
I am registered to vote as “unenrolled“.
Nothing compels me to defend someone because of the party they belong to.
On the other hand you certainly feel compelled to attack Mr. Martin because you obviously don’t like him.
That is your right but you are like an old hen here with you mudslinging gossip.
……yet you have no explanation for such an unconventional deal in a Chapter 11 filing. How can it be explained once one looks at the facts of what has taken place. The owners are buying the store from themselves for $125,000 and have debts that are around $300,000. Irving was aggressivly pursuing Martin and then the Bald Mountain mining legislation was introduced and now they propose a deal that appears to be very beneficial to Martin and Voisine. There should also be criminal charges filed based on the fact that the store ordered $21,000 worth of gas from Van Buren Tulsa the day before the bankruptcy was filed. If John Martin was a Republican I would levy the same criticism.
Is there a judge overseeing the bankruptcy? I’m sure there is. Why don’t you take it up with the judge if you have a problem with this bankruptcy filing?
In the meantime you are a clucking gossiping hen and nothing more.
Now, now if you keep calling me names you might hurt my feelings, but I guess I would have to care what your opinion of me or anything else is for that matter. Of course I am not surprised that you, in place of an intelligent response, resort to name calling.
try to make an argument instead of posting gossipy speculation please
I provided well documented facts of the bankruptcy filing from multiple sources. You on the other hand do nothing but spew verbal diarrhea.
pipedownnow is quite the genital polisher for Martin, eh?
That’s hilarious Biff.
Just put your training wheels on your goober Pee Wee bike?
Sweet.
Read this link it has more of what should have been reported here, with tidbits such as ,,,,
“Creditors listed in the Feb. 15 Chapter 11 voluntary petition include Irving Oil; the IRS for $7,754 in unpaid payroll taxes and penalties; $2,183 to the state Department of Inland Fisheries and Wildlife for licenses and regulations; $2,960 in property taxes to the town of Eagle Lake; $259 for water and sewer services; Tulsa, Inc. of Van Buren for a $21,387 fuel delivery on the day before the bankruptcy was filed; and other creditors such as accounting services, electrical services and phone.”
http://pinetreewatchdog.org/2012/10/31/rep-martin-partner-will-buy-back-bankrupt-store-for-less-than-half-of-the-debt/
Very interesting link.
“Tulsa, Inc. of Van Buren for a $21,387 fuel delivery on the day before the bankruptcy was filed.”
Would this not be fraud, as they knew they would be filing the next day?
Made me wonder :-/
If Martin and Voisine owed everyone they did business with except a few vendors, what did they do with the money they were taking in. Obviously, they were selling gasoline, hunting & fishing licenses, and so on, but not paying anyone. They even charged customers sales tax and did not turn it over to the State. Crooks. The worst of it is, the people up there keep sending him back to Augusta, instead of to jail.
They send him to Augusta because they don’t want him anywhere near them. This is what happens without term limits ( and I mean one term and go home ), a person becomes a liability to the area, the state and the party he represents. A one term limit would ensure a true citizen government , a government of the people as it was designed ! Vote against all encumbants this election day , we need a fresh start !
it is called the gestapo,even though he is french. that takes big cahoonas to order a load of fuel the day before he files bankruptsy from van buren tulsa a hard working outfit and now not knowing how much they will get out of it. UNBELIEVABLE! like he didn’t know he was going to file the day before he filed. crook is the only word that comes to mind!
What a surprise, a democrat that managed his business into bankruptcy, just like what the Dems have been doing to this state for the last 40 years.
We’ll keep the mining regulation legislation.
Southern Maine can have John Martin.
That’s where he belongs.
Hi Yowsa..and what will you feed your big trojan horse ( the mining legislation)?
I hear it has a huge appetite and eats its owners out of house and home, rivers streams and watersheds.
It spits out 1/3 ounce of gold per ton of ore on a steady diet of cyanide solution dripped over the ore that persists in the atmosphere and in surrounding waterways hundreds of miles away. It persists at harmful levels longer in cold climates like ours according to a 2000 study by the U.S. Geological Survey.
Yessa. Yowsa When you capture and take on care and feeding of a monster..well you just never know. Yessa that’s how it goes.
Why do you think this big monster was brought to our little Banana Republic known as Maine,Yowsa? Other states and even other banana republics have banned cyanide heap leach processing..the only commercially viable means of separating 1/3 ounce of gold from one ton of ore.
Only the Maine legislature, which never uses google or refers to global and national experience in its decision making, would be foolish enough to believe the ginormous greenwashing of the gold mining interests who brought this legislation to a virtually private hearing before our joint committee.
Yessa Yowsa. You tenders in the stable of this big shiny trojan horse along with John Martin and every single legislator who let this legislation out of committee are now responsible for its care and feeding and it will eat you and your neighborhood up there out of house and home fishing waters and drinking water…(did I mention that the stable boys for this horse at Bald Mountain will most likely be insourced..that’s a big agenda for our friend Irving..to have the right to use his own Canadian workers on his Maine holdings)
Yessa Yowsa..I think that’s the story. You are lobbying not for jobs and prosperity but for an industry that will challenge if not eliminate the jobs that already support this area as well as threatening water supply of its residents.
Yessa, Yowsa
You got a monster by the tail there.
Your continued use of yowsa is offensive to me as a black man. Please pick another handle and discontinue the use of that word in your diahhrea of the mouth rants
Dear Perelypulppounder,
????
Yowsa is the name he/she has chosen to use here at our blog community.
And isn’t it Yowsa who often punctuates his comments here with “Yessa”?
I was not aware of any racial connotations to Yowsa’s choice of name..please edify me.
Here is the official Urban Dictionary definition of “Yowsa Yowsa Yowsa” http://www.urbandictionary.com/define.php?term=yowza ( an expression of surprise)
And just to return to the main point for one second, this giant trojan horse yowsa has by the tail,walked into our midst by John Martin on behalf of JD Irving ( to whom he coincidentally owed a back breaking bankrupcy threatening debt)
(1) are you refuting the findings of the 2000 USGS study that cyanide persists in harmful levels from and in the tailings of gold mines?
( 2) are you refuting that other states and even other banana republics have banned cyanide heap each processing?
(3) are you refuting that the fact that only 1/3 ounce of gold is extracted per ton of ore?
By the way, your offensive characterization of my post is a violation of the terms and conditions we all agree to in posting here. At the PPH because of people like you who speak rudely and profanely behind the anonymity of a pseudonym, we no longer have a disqus supported blog. Blogging is only allowed by use of own verifiable name and via facebook account. Is that what you want here?
Lindsay,
Whenever I see someone justify their behavior with an internet link, I feel compelled to be overly critical of their own musings.
So, with that said, if you were really familiar with mining, you would surely know that it’s “TAILINGS” not “Trailings.” Huge knowledge shock to the neutral reader, who might know a thing or two about mining. I’m no fan of Martin but I do appreciate employment.
And, obtw, “Yessa” is more racist than you’d ever know. Perhaps, Amos and Andy humor suits your fancy, too.
I have extensive experience in many parts of the south
and have heard all manner of things , but I have yet to hear
that yowsa is a racist comment.
Except from you , a Yankee.
Hi Droo..
apologize for the typo..yes tailings ( even with Mozilla still some typos here and there)
Suggest you read this paper by Dr. Robert Moran on the persistence of cyanide in tailings.
http://bankwatch.org/documents/decodingcyanide.pdf
“as this report will demonstrate, most of what has been proposed by industry and governments in regard to cyanide management misses
the mark. These “codes” or regulations fail to address the issues that are of most concern to the public. Issues such as protecting land resources, communities,and water resources. Arguably, current
“code” and regulatory proposals amount to greenwashing in that they
give the appearance that governments and mining companies are addressing environmental issues, when in fact they are not.”
First, cyanide also tends to react readily with many other chemical elements and molecules to form, as a minimum, hundreds of different compounds (Flynn and Haslem, 1995). Many of these breakdown compounds, while generally less toxic than the original cyanide, are known to be toxic to aquatic organisms, a nd persist in the environment for significant periods of time. In addition, there is evidence that some forms of these compounds can be accumulated in plant tissues (Eisler, 1991) and may be chronically toxic to fish (Heming, 1989; and numerous other studies discussed in Moran, 199
Lindsay Newland Bowker
Risk Manager NYC DEP (1986-1998)
You have all you can handle on your plate to make the coastal area of Maine into the liberal environmentally correct paradise that you envision, dear.
We will be just fine without your help up here in North Maine.
East/West Highway/YESSA
Bald Mountain Mines/YESSA
NO PARK FOR ME!
Yessa..I was sure it was you Yowsa who punctuate your comments with Yessa ( and I must say I have picked up that habit myself in the jocular company of very close friends) Yessa.
Here is a major agenda of Maine Forest Products Council brought to you by Senator Tom Saviello to make it easier to hire foreign workers on Maine work sites..note the tricky name change that somehow suggests this is great for Maine workers..ie poeple who live and work in Maine. ( ath the moment about logging but we can expect to see, I am pretty sure, broader authorit that will include mining ( not yet law by the way, Yowsa so there’s still time to let Mr. Saviello know what you think about this other trojan horse dragged onto the floor of our legislature) . In nay event mining companies have their owned trained work crews and there are few jobs, mostly low paying, available to the local community
http://www.maineforest.org/docs/New%20Folder/FAR-Mar-5th-Mar-9th.pdf
LD 1383 An Act To Improve
the Process by Which Logging Contractors Hire Legal Foreign Workers
The Maine Legislature’s Labor,
Commerce, Research and Economic Development Committee voted unanimously Ought
To Pass as Amended on LD 1383, now titled an Act To Promote a Qualified
U.S. Logging Workforce and Ensure Adequate Wood Supply for Maine Mills.
This bill amends the
language in the original LD 1383, introduced last spring by Sen. Tom Saviello
While the big monster mining trojan horse was brought to us by your freind and neighbor JD Irving, it applies throughout Maine..all Mainers have an nterest in this bill..and the ramifications of improper practice at Bald Mountain can affect communities hundreds and hundreds or miles away so even Bald Mountain is not a “local issue”
We have our own old dead expensive trojan hourse in my neighborhood..the Callahan Silver nine..now a superfund site I believe with a multi million dollar clean up cost and of course the mining company is long gone and off the scene. Looks like the town of Brooksvile will be left holding the bag. Our experience here is exactly what my first post to you is all about.
Yessa.
You have a monster by the tail.
No question about it.
Yessa.
way south in maine like one of the beaches
Sales tax and withholding are trust funds. They money is or was not their’s to spend. Technically a theft if they have not remitted. Supposed Mr. Martin will point to his co-owner as the person responsible for remitting those taxes.
Martin may not be the most likeable guy on the planet but consider all the people who have continued to vote for him over the years. Must be a lot of pork in his district.
This guy just won’t go away.
Career politician that needs to be exposed to the fullest.
John Martin vs Irving Oil ? No contest John Martin is the King Of Maine—nobody wins against him.And yet the Valley people keep reelecting him for all the goodies he provides..Sorry Irving Oil ,this is one guy you cannot win against.
They already did. He introduced the legislation to allow mining on Bald Mountain and the cushy deal on the bankruptcy is just a nice little thank you from Irving to Martin.
More BS
Great argument, how about offering some kind of explanation to the contrary.
Thanks for clarifying,now when the water goes bad in Aroostook County I’ll just head up to Eagle Lake and buy spring water from Johns store!
And the repubs lined up with their support so they would share in the payoff [ lobbying ] money !!
And this guy represents who in Augusta. Time to pay the piper Martin. It is too bad that more of your behind the scenes activities don’t come to the surface if there is any truth to them.
The story says Irving is proposing this. they’re the ones who are owed the money and if it’s okay with them what’s the problem?
This isn’t anything like Republican House Speaker Nutting stealing 1,000,000+ dollars from the State of Maine and the federal government and trying to get his fellow Republican legislators to bail him out. That s.o.b should be in jail.
nothing to see here move on.
Now we know how Martin gets reelected. It’s like you’re blind in one eye and can’t see out of the other.
you have something to say to me?
Sounds like ath20 already did.
Buzz off.
I seem to be getting under your skin. Why did’t you respond to my question asking what your connection to Martin is?
you’re a waste of my time so buzz off thank you
Apparently not, you have responded to almost all of my comments up to this point. Are we getting a little flustered now that the questions are getting a little too close to home?
Usually when people are told “nothing to see here move on” There is something to see and the one instructing others to move along has something to hide. By the way, what is your connection to Martin?
I’m confused. There isn’t enough money from the store to pay the creditors, so they declared bankruptcy and then sold the store back to themselves? I don’t get it.
Martin is just like the proverbial bad penny. How does he keep getting re-elected? Who is on the ballot running againist him? possibly Big Foot?? or is it Big Foot’s job to count the ballots??
The Big Foot here is the one you just put in your mouth with that post.
Better to be thought a fool and remain quiet than to open your mouth and remove all doubt.
John Martin is a joke! He is something else. Don’t trust him, don’t care for him and don’t shop at his store.
The only joke here is what you just posted.
Obviously, you don’t know John Martin. We know John when he became the speaker and since then, it’s been all downhill for him and the people of Maine. The joke is on you!
I don’t live in his district, apparently the joke is on you since he keeps getting reelected.
So you don’t know him yet you think what I say makes the joke on me. Actually, we don’t live in his district either but I know the man and you don’t. You sound like a Socialist demo who speak but doesn’t listen.
You’ve got that right! People ‘from away’ don’t understand the history; the numerous examples of questionable activities (notice I’m being very general here – no plans to elaborate). Fond (not) memories. If they were taking in money where was it going? I can’t get away with not paying my taxes or bills. People ask why voters keep re-electing him. Most people are either intimidated or owe their lives to him. He also makes sure redistricting doesn’t occur so he can keep his enemies at bay. Let’s not forget the many nursing / waiver home residents who will typically vote for him. Am I close, rmadore?
Am I the only one seeing this or did I miss the train ? Right before the election, and upcoming House and Senate seat’s and their Committee’s are assigned, ‘suddenly’ Irving goes and virtually lets Martin off the hook. Given the ‘stinky finger’ that went on last spring after the Bald Mountain mess was seen for what it is, is anyone really surprised at this one ?
“is anyone really surprised at this one ?”
Nope :-/
john martin will get away with this…its not who you know…he would get away with murder
Classic “job-creator” move: Incorporate, run-up debt, file bankruptcy, buy the assets with your new corporation. I wonder if they learned how to do that from watching Bain Capital, etc?
Of course commentors are again making a political issue out of a tragedy.
Has anyone noticed that bankrupt convenience stores are now almost as common as foreclosed property in Maine? This appears to have happened as gas prices increased. R.H. Foster pushed two local stores into bankrupcy, both have subsequently been sold.
to Tux Katx, there is no tragedy here, only corruption at it’s finest!
What a filthy crook! Go ahead, District 1, vote him back in! You get what you deserve!
When you don’t pay taxes, you are planning and if you pre-plan you hide money and assets. This needs a forensic audit done and follow the money. How in the world does one take from their state and want to represent the people who do pay their taxes? Demand justice and make Mr. Martin pay up.
“Unusual” is a kind word for this BS…There is nothing that surprises me regarding JM. His focus has always been to line his pocket first then “the people” he is supposed to represent get the crumbs. The man is smart, has keen knowledge of the laws and if the law isn’t there for him, he makes the laws pass for his benefit, (time after time). From his home town of Eagle Lake to Augusta, he has used the peoples money to monopolize and empower himself. And yet, his puppets keep voting for him. So keep him, just don’t complain anymore about him. You, the people, have the power to make a change, so VOTE!!!