Green Field Energy court orders release of $906,547 of seized funds

By Kali Hays

New York, May 9 - Regions Bank and the Louisiana Department of Revenue are to release funds of Green Field Energy Services, Inc. in the amount of $906,547, allowing the company's confirmed plan of liquidation to take effect, according to a Friday order from the U.S. Bankruptcy Court for the District of Delaware.

The funds are to be wired to Green Field no later than Monday.

If the funds are not wired by the ordered date, Regions and the Louisiana Department of Revenue will be liable for all of Green Field's related legal fees and expenses, according to the order.

As previously reported, the freeze was placed on the funds on Wednesday in what Green Field claimed to be a "violation of the automatic stay, the confirmation order and the plan."

The company also said that the seizure of the funds was made without notice or explanation based on a claim for which no proof of claim had been filed by the Louisiana Department of Revenue, according to the motion.

The plan of liquidation received confirmation on April 23 and the company expected it to take effect May 8.

Green Field is a Lafayette, La.-based energy services company that operates in the well services and hydraulic fracturing services lines. The company filed for bankruptcy on Oct. 27, 2013 under Chapter 11 case number 13-12783.

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