Legal battle continues over South Bend's ethanol plant - Fox 28: South Bend, Elkhart IN News, Weather, Sports

Legal battle continues over South Bend's ethanol plant

Posted:

"The battle will continue," says Robert Salazar, Natural Chem's CEO.

South Bend's Ethanol plant is officially under new ownership, but Salazar still wants to buy it and he's fighting in court to have the original auction thrown out because he says it was tainted. "We need a new auction under the court. No collusion, enforce the big procedures, don't waive it for some and apply it for others."

He wants to purchase the plant and get it running again and he fears the investors who won the auction will liquidate. "We need to have a stay that prevents them from dismantling the plant, from selling the plant, from encumbering it with mortgages or whatever liquidators do."

But Interim City Attorney Aladean DeRose doesn't think that will happen. "The new purchaser is, I think, as interested as the city is in finding an operator."

She says the city hasn't communicated with the liquidators directly, but she doesn't think their ownership is a death threat for the plant. "We understand that they are looking at everything."

And Rudy Yakym Jr. hopes they look at the local investors that HE represents, who want to buy and operate the plant. "Best case, we negotiate a deal with the current owners and we put together an operating plan, raise the funds to make it happen."

He's following the court proceedings closely and hopes the judge will make a decision fast. "The longer it sits the more damage to the plant. It's a waste of an asset."

The federal court judge says he understands a decision needs to be made fast. He's hoping to rule on Monday.

FOX28 popped into the neighborhood next to the ethanol plant to see how residents are doing.

The city says the liquidators have agreed to keep the pumps running for now to prevent flooding problems in nearby homes and residents say things have calmed down.

"It's been quiet. Our pumps aren't running as often as they usually do since they started the well down the street," says Peggy Tomkiewicz.

Residents are also concerned about how all this is playing out in court. Again, the pumps are running now, keeping their basements dry. They want it to stay that way and fear what will happen if the plant is dismantled.

 

  • Most Popular StoriesMost Popular StoriesMore>>

  • Two shot, one killed in downtown Chicago office building

    Two shot, one killed in downtown Chicago office building

    200 block of LaSalle in Chicago (FOX32 photo)200 block of LaSalle in Chicago (FOX32 photo)
    CHICAGO (FOX 32 News) - A recently demoted executive entered a Loop office building in Chicago on Thursday morning and shot the company’s CEO before turning the gun on himself and committing suicide, authorities said. The shooting happened just before 10 a.m. at the ArrowStream company on the 17th floor of the Bank of America building, 231 S. LaSalle St. “Apparently he was despondent over the fact that he got demoted,” Chicago Police Supt. Garry McCarthy said.More >>
    CHICAGO (FOX 32 News) - A recently demoted executive entered a Loop office building in Chicago on Thursday morning and shot the company’s CEO before turning the gun on himself and committing suicide, authorities said. The shooting happened just before 10 a.m. at the ArrowStream company on the 17th floor of the Bank of America building, 231 S. LaSalle St. “Apparently he was despondent over the fact that he got demoted,” Chicago Police Supt. Garry McCarthy said.More >>
  • South Bend Police looking for a man who allegedly exposed himself to children

    South Bend Police looking for a man who allegedly exposed himself to children

    Yesterday afternoon, a seven year old boy was playing with his six year old friend on the 1000 block of South Ironwood, when an unknown male tried to lure the children to a nearby garage according to the South Bend Police Department.The children refused at which point the man exposed his genitalia. The children ran into a nearby home and the suspect left the area in a direction unknown to police.The man is described as having gray balding hair and wearing light colored shorts.More >>
    Yesterday afternoon, a seven year old boy was playing with his six year old friend on the 1000 block of South Ironwood, when an unknown male tried to lure the children to a nearby garage according to the South Bend Police Department.The children refused at which point the man exposed his genitalia. The children ran into a nearby home and the suspect left the area in a direction unknown to police.The man is described as having gray balding hair and wearing light colored shorts.More >>
  • Orville Redenbacher withdraws Indiana sponsorship

    Orville Redenbacher withdraws Indiana sponsorship

    ChicagoLand Popcorn has become the title sponsor of an Indiana popcorn festival after ConAgra Foods withdrew its Orville Redenbacher sponsorship.More >>
    ChicagoLand Popcorn has become the title sponsor of an Indiana popcorn festival after ConAgra Foods withdrew its Orville Redenbacher sponsorship.More >>
Powered by WorldNow

Fox 28

WSJV-TV FOX 28
58096 County Road 7, South
Elkhart, IN 46517

Switchboard: 574.679.9758
News Phone: 574.679.4545
Station Fax: 574.294.1267
Email: fox28news@fox28.com

All content ©Copyright 2000 - 2014 WorldNow and WSJV. All Rights Reserved.
For more information on this site, please read our Privacy Policy and Terms of Service and Mobile Privacy Policy & Terms of Service.

Persons with disabilities who need assistance with issues relating to the content of this station's public inspection file should contact Administrative Assistant Heather Stewart at (574) 343-5310. Questions or concerns relating to the accessibility of the FCC's online public file system should be directed to the FCC at 888-225-5322, at 888-835-5322 (TTY) or at fccinfo@fcc.gov.