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News Article
Unpaid consignors sought for Devine bankruptcy
By Robert Kyle

MANCHESTER, N.H. – Unpaid consignors of JC Devine firearms auctions are being asked by the New Hampshire Attorney General’s Consumer Protection Bureau to file official complaints before July 23. On that day a hearing will take place in the bankruptcy court in Manchester to determine the number of people owed money and the total amount unpaid. JC Devine, Inc., filed for Chapter 7 bankruptcy on June 22 listing assets of $284,442 and liabilities of $574,589.

A "proof of claim" form is required. It can be downloaded online but must be mailed, not faxed or emailed, and must be received prior to July 23.

The form is available at: www.uscourts.gov/uscourts/rulesandpolicies/BK_forms_official_2010/B_0100410.pdf. The completed form should be mailed to United States Bankruptcy Court, 1000 Elm St., Suite 1001, Manchester, NH 03101. To reach the Consumer Protection Bureau, call 603-271-3643.

"Our recommendation is that everybody who feels they have a claim should do what they can to get to that hearing," consumer protection attorney David Rienzo told the Nashua Telegraph in a July 7 article. Some creditors have received letters notifying them of the bankruptcy filing but not everyone owed money is known.

Joseph C. Devine launched the company 35 years ago. When he died in Florida on Feb. 24 at age 72, employees of the company went ahead with the scheduled March 7 auction at the Radisson Hotel in Nashua. By late April the state Attorney General’s office began receiving complaints from consignors who were still waiting to get paid. The auction company had a 45-day waiting period before they mailed checks. A May 9 auction was canceled. Some of the consignments, including a rare serial number one Model 1892 Winchester, were given the Manchester-based Amoskeag auctions.

Stories from consignors have been surfacing since Devine folded. The Nashua Telegram reported that Idaho resident Harvey Pendelton thought he had sold his Model 1878 Browning rifle on March 7 for $14,500 after receiving an email from the auction company. He’s still waiting for his check.

Christine Hurd, writing in a Maine Antique Digest readers’ forum, said, "My husband passed away in November and while he was ill he felt he was doing something positive for his family by selling these guns with a ’reputable dealer.’" The family was never paid and Hurd has filed a complaint.

In a forum for Northeast Shooters, P. Bradshaw wrote, "I consigned guns to the March 7 auction…They sold but I was unsuccessful in obtaining a full prices realized list or payment before they dropped out of sight."

The Chapter 7 bankruptcy is designed to liquidate assets and determine how much is owed to unpaid creditors. To date, the results of the March 7 auction or the number of consignors affected has not been disclosed.

In addition to unpaid consignors, five former Devine employees have filed claims with the state’s labor department seeking individual back wages ranging from $291 to nearly $3,000. A late 19th century commercial building in Milford owned by Devine has been for sale for several years. It’s valued at $550,000 but the Attorney General’s office has filed a claim in court for $200,000 of the proceeds to satisfy the company’s debt to unpaid consignors.

7/16/2010
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