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Interview with the Christian Bernard Bankruptcy TrusteeJanuary 7, 2009
Within the last week I've had discussions with several potential liquidators, and have gotten proposals about going out of business sales and the like. We hope to have the stores back open within the next ten days.
About the employees: The employees [generally got] paid every two weeks. The company shut down a day or two before the end of that pay period so the employees were not paid. I went to the bank and asked to create a mechanism by which the employees could be paid their back wages and the bank agreed. I’ve sent off the checks and hopefully that will take care of the open payroll.
There is also a handful of other issues, like the 401K plan. Those will get sorted out.
[He adds that the chain hopes to rehire the Christian Bernard employees for the liquidation sales.]
The consumer issues: The chain was shut down on December 26 at two or three in the morning. So many employees showed up for work with no place to go. So naturally you have a situation where you have repair items and special order items still in the store with no way of contacting people.
One of the first things the liquidators will do is to go back to those people who have contacted me, look at the store records, identify people who had items there and make arrangements to return their goods.
We want to try to do this in a way that’s as fair and as consumer friendly as possible.
He said that consumers with issues should write to rbrady@formanlaw.com or call his law firm at 201-845-1000. He said the firm hopes to get back to most people within a day or so, and if they don’t, they should contact him again.
One interesting thing that came out in the comments on my last post is whether the chain was owned by Reverend Sun Myung Moon’s Unification Church. The court papers don’t mention it, and Forman doesn’t know, but the BBC, Salon, and a slew of websites seem to think so. Posted by Rob Bates on January 7, 2009 | Comments (7)
January 7, 2009
In response to: Interview with the Christian Bernard Bankruptcy Trustee thereisnospoon commented: I am a member of the Unification Church in good standing and have been since the late 70s. It is commonly known within the church that Christian Bernard Jewelers is owned by church members and not the church itself. Would you say that the Marriott Hotel chain is owned by the Mormon Church? Many of the businesses that are thought to be "owned by the church" are in fact owned by church members. Some of these businesses may have received angel investor funds from other more successful church members and the owners of these businesses may make large contributions to the church. The church does not own these businesses. The church is merely a beneficiary of the business owners. This is an ancient practice found in many other religious and political movements throughout history. I hope this clears up some misunderstandings.
January 8, 2009
In response to: Interview with the Christian Bernard Bankruptcy Trustee getwithit commented: owned by one of the unification church members? that explains a lot now...and their unethical business behavior.
January 8, 2009
In response to: Interview with the Christian Bernard Bankruptcy Trustee Homer commented: Frankly, the moonie element is irrelevant now. No matter who may have owned it before, the company is now in the hands of the trustee and the courts. Rather than waste energy debating things like this, any affected parties should get in touch with the trustee immediately. Bankruptcy law can be tricky, and much of it is counterintuitive (at least to average consumers) because of the many competing interests the court has to balance. As a general rule, though, sooner is better. Consumers who sit around waiting to see what happens may end up with nothing.
January 8, 2009
In response to: Interview with the Christian Bernard Bankruptcy Trustee George commented: To getwithit.
January 10, 2009
In response to: Interview with the Christian Bernard Bankruptcy Trustee A1 commented: Glad the Trustee is open to helping the consumers who have their jewelry in the store! Plus glad to hear the employees will get their pay!
January 15, 2009
In response to: Interview with the Christian Bernard Bankruptcy Trustee Brian commented: I'm sad to hear that Christian Bernard could not keep afloat in these economically difficult times. It was a good run while it lasted. Maybe those that founded it can reform and try something new with all thier years of experience in the jewelry field. That would be my hope after all is said and done.
January 25, 2009
In response to: Interview with the Christian Bernard Bankruptcy Trustee Unfortunate Souls commented: My Fiance and I are out $3K because CB took our depost on custom order Hearts on Fire products the day before christmas, and when we went to pick them up today, the liquidation guy said we are probably going to be SOL and contact the attorney general. maybe he can do something. We have our fingers crossed, but if anyone knows how emotional women could be about weddings, try telling her tha the special ring isn't going to happen even though you paid for half of it! WTF
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