Port of Port Angeles, Washington, commissioners turn over PenPly debts worth US$204,443 to collection agency, consider legal action against defunct plywood manufacturer and its investors
February 2, 2012
– Commissioners at the Port of Port Angeles in Washington have written off US$204,443 owed by defunct plywood manufacturer Peninsula Plywood (PenPly), according to a report by the Peninsula Daily News.
The port took the bills off its books last week and turned them over to its contracted collection agency. Officials said they may eventually take legal action to recover the money.
PenPly, which closed its facility at the port on Dec. 20 after 22 months, also owes $314,489 in utility bills to the city of Port Angeles.
The debts to the port include bills for lease charges, log yard fees and equipment rental costs. Port Commission president John Calhoun said the problem with PenPly was that the defunct company apparently does not have any assets.
Calhoun said the commission would consider taking appropriate steps to try and recover any assets from PenPly or its investors.
The port's finance director Bill James said the write-off was a required accounting procedure that kept the port’s options open. He added: “The next step will probably be a legal step.”
James said that, if the collection agencywere to recover PenPly’s debt, the port would receive the full amount and PenPly's owners would be eligible to pay a fee to the agency.
City Manager Kent Myers said the city had not taken PenPly’s utility bills off the books and was considering its legal options. A court clerk noted that PenPly had not filed for creditor protection.
The primary source of this article is the Peninsula Daily News, Port Angeles, Washington, on Jan. 31, 2012.