Ethanol Co.'s Ch. 11 Sparks Fight Over $4.7M Of Corn

Law360, New York (June 9, 2011, 7:42 PM EDT) -- Perdue Bioenergy LLC on Wednesday asked a bankruptcy judge in North Carolina to allow the corn supplier to take back $4.7 million worth of corn from stricken ethanol producer Clean Burn Fuels LLC and toss the debtor’s lawsuit over the inventory.

Clean Burn filed for Chapter 11 protection in April and is holding 553,000 bushels of corn at its Raeford, N.C., ethanol plant that the debtor, its supplier Perdue, and its chief lender Cape Fear Farm Credit ACA all contend belongs to them.

Perdue urged the...
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