Alan Drey Co. Inc. is planning to begin next week paying back some of its creditors after closing its doors in August.
A target date of Oct. 7 has been set to begin payments, first to creditors whose debts were incurred after Aug. 22, the date Rally Capital Service Inc. was assigned the Alan Drey account, said Howard B. Samuels, president of Rally Capital Service in Chicago, and a trustee of the Alan Drey creditors trust.
Once those debts have been settled, compensation will be sought for creditors owed money prior to Aug. 22, he said. Samuels plans to recover 100% of the money owed creditors, a number he declined to disclose.
Alan Drey reported assets of $1.2 million and liabilities of $2.3 million. The firm executed a trust assignment for the benefit of creditors, a non-judicial process similar to bankruptcy liquidation. (DIRECT Newsline, Aug. 26).
Alan Drey closed its doors last month after 52 years in the mailing list brokerage business. It had suffered a severe decline in revenue and continued operating losses.
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