8 months ago
FlexShopper Files Bankruptcy After CEO Firing
FlexShopper is a company that helps people rent and eventually own things like refrigerators, furniture, and TVs.
They recently had some big problems.
Their boss, the CEO, was fired because he might have done some bad things with money and documents.
Now, the company has to go to court to figure out their money problems.
They might be sold to another company called Snap Finance.
The company says they have about $50 million in things they own and $100 million in money they owe.
They are sorry for some mistakes they made with their money reports before.
FlexShopper Inc. filed for Chapter 11 bankruptcy in Delaware.
The company has an offer to sell its business to Snap Finance.
Former CEO Russell Heiser was fired for alleged fraudulent activities.
FlexShopper listed assets of at least $50 million and liabilities of at least $100 million.
The bankruptcy follows an internal investigation into forged loan documents and ineligible collateral.
- Who
- FlexShopper Inc., a lease-to-own financing provider
- What
- Filed for Chapter 11 bankruptcy
- Where
- US Bankruptcy Court for the District of Delaware
- When
- Monday (specific date not mentioned)
- Why
- After internal investigation into fraudulent loan documents and firing of CEO
Key facts
- Company
- FlexShopper Inc.
- Location
- Boca Raton, Florida
- Bankruptcy Court
- US Bankruptcy Court for the District of Delaware
- Assets
- $50 million
- Liabilities
- $100 million
- CEO Fired
- Russell Heiser
- Potential Buyer
- Snap Finance
Quotes
Matthew Doheny
Chief Restructuring Officer of FlexShopper Inc.
“Heiser was accused of 'pledging collateral that did not exist or meet the eligibility requirements' under one of the company’s lending facilities”
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