Knight Oil Tools’ Parent Company Files For Bankruptcy
Court documents show Knight Energy Holdings LLC has filed for Chapter 11 bankruptcy.
The Lafayette-based company filed the bankruptcy petition Tuesday stating the company's debt ranges from $100 million to $500 million with its assets ranging from $50 million to $100 million.
Knight Energy Holdings listed 11 companies--including Knight Oil Tools-- as subsidiaries and three affiliate companies in the petition.
According to Investopedia, Chapter 11 bankruptcy helps a business restructure its debts and obligations. It does not usually shutter the business.
The company has faced years of turmoil following a racketeering scandal involving Knight administrators and local law enforcement.
On July 29th, 2015, Mark Knight and three others were indicted by a grand jury in an alleged plot to get Knight’s brother, Bryan Knight, out of the family business, Knight Oil Tools.
Also indicted with Knight was Jason Kinch, a former Lafayette Parish Sheriff’s Deputy; Corey Jackson, a former Louisiana State Trooper; and a former Knight Oil Tool employee Russell Manuel. The four were indicted on racketeering charges.