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Food Share Bankruptcy Leaves Freight Company With $52,000 Bill

Agent Claims Food Share CEO Mislead Company

POSTED: 9:48 pm MDT July 27, 2010
UPDATED: 6:57 am MDT July 28, 2010

The ripple effect continues after Food Share America, which provided food at a discount to people with limited incomes, declared bankruptcy earlier this month.

The bankruptcy left many people who had prepaid for groceries without food and without a refund. But those customers weren't the only ones affected.

The owner of Facto Express Corporation, a company that arranges freight transportation, said his company was left holding the bag for $52,000 when Food Share went under.

"What we have to do is pay the carrier right away and wait for the customer to pay us," said Andre Fix.

Fix said Food Share was late paying most of its transportation bills but that it paid them until June.

"We were in the middle of a pickup and my bank calls me and says, 'Andre, we’ve got a problem. He just bounced a $15,000 check,'" Fix said. "I told (Food Share CEO) Bill (McKnight) that I couldn’t deliver the food unless the last bill was paid."

"He said, ‘Please pick up my product and I promise you I will come down Monday and personally guarantee payment. I have a $50,000 check coming in,'" Fix added.

Contract Agent Tom Eickbush told 7NEWS that he doesn’t think McKnight intended to pay them.

"He knew that he didn’t have the money to pay me but he knew that if I loaded those trucks he could collect the money from his customers," Eickbush said.

As a contract agent, Eickbush gets paid by commission. Because Food Share didn’t pay Facto Express, Eickbush isn’t getting paid.

"It’s a huge hit," the agent said. "I have to cut back on living expenses. My Internet account was shut off yesterday. My phone lines are the next to go."

Eickbush said he didn’t drive into Denver Tuesday, and opted instead to work from home just to save gas.

"My refrigerator is empty," he said. "I can’t afford food."

McKnight did not return a call to 7NEWS, but he told the station last week that he and his wife lost more than $100,000 themselves.

He said he’s trying to list all customers as creditors on his bankruptcy filing.

Food Share’s first bankruptcy court hearing is slated for Friday, Aug. 13.

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