HUNTSVILLE, AL—
American Shingle has filed Chapter 7 bankruptcy. It happened Thursday in Georgia."Its concerning when you see that it's Chapter 7 bankruptcy because that would tell us they're not trying to just reorganize the company and be able to continue to operate and hopefully at least pay back part of the money," said Better Business Bureau of North Alabama President and CEO Michele Mason.
Customers say American Shingle signed them up for new roofs, took their insurance checks and cashed them, but never got around to the jobs.
"They were almost a ponzi scheme," said customer Pat Barber.
She says the bankruptcy filing is just a cover up.
"That is their excuse for getting away with fraud. I mean, poor us! Oh! The economy!" said Barber, mockingly.
American Shingle's petition with the United States Bankruptcy Court says after they pay administrative expenses, they'll probably have no money left to pay unsecured creditors.
"Translation: I'm out of luck," said Barber.
"There's a long list here of companies spanning all over the US that are owed money by this company," said Mason.
More than 150 companies are listed in the documents.
According to the petition, American Shingle's assets are between $1 and $10 million, with liabilities between $10 and $50 million ... a vast gap to try to bridge.
Mason is encouraging those who say they've been wronged by American Shingle to look into the bankruptcy, and see if they can file a claim against it.
