GREENE, MAINE - Flexible packaging converter Maine Poly Inc. filed for Chapter 7 of the U.S. Bankruptcy Code less than a week after it closed its plant in Greene.
Maine Poly closed its facility July 6 because of financial problems it blamed on high resin prices, tough markets and financial difficulties left over from its purchase in July 1998 by JPB Enterprises Inc. of Columbia, Md. It focused on eight-color printing and converting film it extruded at the operation into bags.
Maine Poly Chief Executive Officer Bert Bolduc declined to provide details of the bankruptcy filed July 11. The court has appointed a trustee to sell Maine Poly's assets and pay creditors.
Bolduc said the bankruptcy had nothing to do with Maine Poly being named in a recently filed negligence lawsuit. A worker injured while operating machinery that at one time was owned by Maine Poly launched the suit.
Frank Whitehead was an employee at Packaging Printing Co. of Springfield, Mass., when he got caught in machinery while cleaning it, he alleged in documents filed in U.S. District Court in Springfield. The incident occurred May 12, 1999. Also named as defendants in the suit were A&D Flexographic Repair Inc. of Texarkana, Texas; Rotomec SpA of San Giorgio, Italy; and Rotomec America Inc. of West Hartford, Conn.
Whitehead's suit was filed May 11, 2001. He requests a trial by jury on numerous counts, including negligence and personal injury, breach of implied warranty of merchantability and breach of implied warranty of fitness for particular purpose. His wife, Heidi Whitehead, also is named as a plaintiff.