The following are recent business filings in U.S. District Court in Baltimore:
Hong Enterprises Inc. (Vernon's Lounge), 1345-47 Poplar Grove St., Baltimore. Bar filed for Chapter 11. Principal: Yong Ae Hong.
Assets: N.A. Liabilities: $117,501.
H. Raymond Vaughan Inc., 3 Paula Place, Baltimore. Construction business, which closed April 30, filed for Chapter 7. Principal: H. Raymond Vaughan. Assets: $0. Liabilities: $50,000.
Commercial & Corporate Audio Video Inc., 11204 McCormick Road, Hunt Valley. Business filed for Chapter 11. Principal: N.A. Assets: $392,258. Liabilities: $681,205.
Delaware Drywall Services Inc. (Dry Wall Services Inc.), P.O. Box 729, North East. Drywall company filed for Chapter 11. Principal: Michael R. Goodyear. Assets: $114,053. Liabilities: $242,947.
Gary Wayne Lucky Sr. and Joanne Patricia Lucky (Gary Lucky Siding Inc.), 3909 Paddrick Road, Darlington. Siding business filed for Chapter 13. Principals: Gary Wayne Lucky Sr. and Joanne Patricia Lucky. Assets: less than $50,000. Liabilities: between $50,000 and $99,000.
Glen Alan Ketchersid (Hangman Inc.), 5225 E. Joppa Road, Baltimore. Drapery installer filed for Chapter 7. Principal: Glen Alan Ketchersid. Assets: less than $50,000. Liabilities: less than $50,000.
Stansbury Service Center Inc., 2031 Merritt Ave., Baltimore. Stereo, video and audio retailer filed for Chapter 11. Principal: Milton Schwartzman. Assets: $115,111. Liabilities: $195,848.
The following are the most common types of filings under the U.S. Bankruptcy Code.
CHAPTER 7 -- Liquidation. A trustee is appointed to take charge of all the debtor's property, except for certain exceptions allowed in the law. The trustee will sell the remaining property for the benefit of creditors, and unless a creditor objects and is upheld by the court, the debt will be discharged in whole or in part.
CHAPTER 11 -- Reorganization. Available to all individuals or businesses, this chapter is primarily intended to allow an ongoing business to restructure its debt. A successful reorganization depends on filing a plan and obtaining its approval by creditors and the court.
CHAPTER 13 -- Adjustment of debts of an individual with regular income. This chapter provides a method for individual debtors to repay creditors, in full or in part, over a period of up to five years. It ordinarily involves less than $100,000 in unsecured debt and $350,000 in secured debt.