Bankruptcy judge says Bangor company can terminate leases

BANGOR – A local company was granted permission Tuesday by a bankruptcy judge to terminate its equipment leases, according to the company’s bankruptcy attorney.

Benjamin Marcus of Portland, attorney for bankrupt Larkin Enterprises Inc., said Tuesday that the order is a routine part of bankruptcy filings.

Larkin Enterprises, which was founded 11 years ago by Richard and Nancy Larkin in the basement of their Hampden home, filed for bankruptcy in federal court in Bangor at the end of April. The specialized construction company provides technical and personnel support to power generation and utility companies nationwide and internationally, according to Larkin Enterprises’ Web site.

Marcus said Larkin Enterprises had no choice but to reorganize because of an industrywide downturn in the utilities market. A “pullback” in the number of new power plants being built has forced Larkin Enterprises to downsize and reduce its overhead, he said.

“The company continues in operation,” Marcus said. “It intends to file a plan of reorganization and to pay off its obligations.”

Larkin Enterprises Inc. owes $647,000 total to its top 20 creditors, according to documents filed in U.S. Bankruptcy Court. Marcus said that overall the company owes an approximate total of $800,000 to more than 170 creditors.

As of last year the firm employed 30 at its corporate offices on Odlin Road and had 400 contract workers at job sites nationwide, the company’s Web site indicated.