Two long-time Yorkton, Sask., manufacturing businesses are now bankrupt.
According to court documents Leon Manufacturing and Ram Industries were both placed in bankruptcy Jan. 23 after an application by the Bank of Montreal.
Another court date is set for Feb. 28.
Read Also
Dennis Laycraft to be inducted into the Canadian Agricultural Hall of Fame
Dennis Laycraft, a champion for the beef industry, will be inducted into the Canadian Agricultural Hall of Fame this fall.
The assets of both companies have been for sale since they were placed in receivership last June. The buildings and equipment still appear on the Ernst & Young website for the proceedings.
Leon manufactured scrapers, dozer blades, front-end loader buckets and more and at one time exported around the world. Ram made and distributed hydraulic and pneumatic cylinders. Both companies were family owned and operated for more than 50 years.
Over the last several years, there were numerous customer complaints about Leon’s inability to provide equipment and its insistence on money up front.
E&Y estimated that when the receivership order was issued June 11, both companies owed $16.6 million to the Bank of Montreal, plus tax debts.
The receiver in October said in its report 13 offers to purchase Leon’s equipment and intellectual property had been submitted but none were made for the buildings. It recommended one of those offers, but details are confidential.
Contact karen.briere@producer.com
