chairs - if you flip them over you can make 3 more seats - but when the music stops you're left with uncomfortable seating
Pride Group - TPine
- Thread starter SCAM CHASER
- Start date
Heard it from reliable sources , their all trucks sale yard have been acquired by Banks and lenders. also checked there is no listing from Tpine on autotrader where they used to cover the first two pages of website.
Also heard Charger has been under investigation for money laundering, not sure if thats true but could be when you see everything in their lots is new, newer and newest.
Also heard Charger has been under investigation for money laundering, not sure if thats true but could be when you see everything in their lots is new, newer and newest.
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you should start a new thread on Charger if so
if this is the case its a good thing they didn't consolidate the trucking side of things with the sales side. TBH I understand the vertical integration mindset most companies have when they get to a sizeable operation. I would assume it just came down to bad timing in the market to be selling equipment with interest rates so high.
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Was talking to a couple of owner ops and they advised that their Tpine full maintenance leases were taken over by Mitsubishi HC in the last couple of days.
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Yup, them and RBC was backing them.
I have heard that RBC has also flagged some GTA area trucking companies from future loans.
I have heard that RBC has also flagged some GTA area trucking companies from future loans.
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Mistsubishi Capital is seeking over $89M+ from both owners of the Pride Group (Johal Brothers) and that is just in the US. There has been a case filed in Canada, so more news should be imminent.
Mitsubishi Seeks $88.9M From Canadian Truck Sellers In US - Law360 UK
Mitsubishi's commercial financing arm has asked federal judges in Connecticut, Illinois and New York to issue at least $89 million in judgments against two individuals in Canada, saying the men in question breached promises to stand behind credit lines extended to two companies that sell tractor...www.law360.com
stupid article is pay walled
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I expect it to hit main stream today, lawyer friends sent that over to me.
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Mitsubishi's commercial financing arm has asked federal judges in Connecticut, Illinois and New York to issue at least $89 million in judgments against two individuals in Canada, saying the men in question breached promises to stand behind credit lines extended to two companies that sell tractor trailers and lease equipment.
The trio of Mitsubishi complaints, all filed Monday, allege that Sulakhan and Jasvir Johal of Ontario, Canada, took out credit lines to build inventories for Pride Truck Sales LP and Tpine Leasing Capital LP. Both the companies and the Johals failed to pay the money back when Mitsubishi HC Capital America Inc. came calling, the complaints indicate.
The Connecticut complaint seeks $88.9 million in damages, including interest, plus attorney fees and other costs. The New York complaint seeks $2.17 million. The Illinois complaint states only that damages exceed the usual $75,000 threshold for certain matters to be heard in federal court.
"Plaintiff provided floorplan financing to Pride Truck so that Pride Truck could purchase inventory to sell in the ordinary course of its business," the Connecticut complaint reads. "When complying with the terms of the applicable agreement, Pride Truck would use the proceeds of a sale to repay plaintiff."
The filing alleges the Johals failed in "multiple instances … to honor other guaranty obligations … related to [Mitsubishi's] financing of their two companies."
Though the Connecticut lawsuit often focuses on alleged defaults by Pride Truck, the Illinois and New York actions focus slightly more on alleged defaults by Tpine Leasing.
All three complaints assert that the Johals are "personally liable for damages suffered" by Mitsubishi as a result of their companies' alleged failures to pay.
According to a Pride Group Enterprises website, Sulakhan and Jasvir are among several brothers who emigrated from India to Canada, invested in a "rundown" hotel and expanded the business to an empire of logistics and trucking enterprises across the U.S. and Canada, including Pride Truck Sales and Tpine Leasing.
The men also operate in the electric vehicle and hospitality industries, the Pride Group website indicates.
Tpine Leasing describes itself online as a "boutique shop specializing in equipment financing" of trucks and construction equipment.
A website for Pride Truck Sales Ltd. describes that company as the operator of more than 45 tractor trailer dealerships in the U.S. and Canada, with locations in California, Texas, New Jersey, Ohio, Michigan, Washington, Georgia, Indiana, Tennessee and six Canadian provinces.
Pride Truck Sales Ltd. is listed on the Pride Group Enterprises website as among the companies controlled by the Johal brothers. Corporate records on file in California, New Jersey, Delaware, Tennessee and Ontario suggest that Pride Truck Sales Ltd., which appears nowhere in the complaints, is likely Pride Truck's Canadian operating arm, while Pride Truck Sales LP, which is listed in the complaints, appears to be its U.S. operating arm.
None of the companies connected to the Johal brothers are named as parties or defendants in the three Mitsubishi complaints.
Pride Truck Sales LP filed a $10 million lawsuit in Oregon in 2021 against a company that allegedly backed out of a deal to sell between 250 and 300 trucks to Pride. Pride said it was unable to find "enough replacement trucks to meet its needs, as there is currently a severe shortage of both new and used trucks."
That case remains ongoing. The defendant said it should be legally excused from the deal because another entity from which it planned to secure the trucks never came through and provided the vehicles, thus creating a failure of a condition precedent laid out in its contract.
Mitsubishi HC Capital America Inc., which the complaint says was formerly known as Hitachi Capital America Corp., is a subsidiary of Mitsubishi HC Capital Inc., its website states.
Mitsubishi HC Capital America maintains U.S. headquarters in Norwalk, Connecticut.
Attempts to contact the Johal brothers and their companies were not successful. Media and generic email addresses for Pride Group Enterprises were not working Tuesday, and no one answered a call to a phone number shared by Pride Group Enterprises, Tpine Leasing and Pride Truck Sales. Messages sent to a Tpine Leasing email address and an individual listed in a Pride Truck Sales press release were not returned. Attorneys for Pride Truck in the Oregon litigation did not immediately respond to inquiries.
Attorneys for Mitsubishi also did not respond to messages.
Mitsubishi is represented by Richard J. Tannenbaum, Hyuna Yong and John R. Casey III of Reed Smith LLP.
Counsel information for the defendants in the new Mitsubishi litigation was not immediately available.
The cases are Mitsubishi HC Capital America Inc. v. Johal et al., case number 3:24-cv-00433, in the U.S. District Court for the District of Connecticut; Mitsubishi HC Capital America Inc. v. Johal et al., case number 1:24-cv-02205, in the U.S. District Court for the Southern District of New York; and Mitsubishi HC Capital America Inc. v. Johal et al., case number 1:24-cv-02393, in the U.S. District Court for the Northern District of Illinois.
The Oregon litigation is Pride Truck Sales LP v. JMR Group LLC, case number 3:21-cv-01607, in the U.S. District Court for the District of Oregon.
Read more at: https://www.law360.com/articles/181...9m-from-canadian-truck-sellers-in-us?copied=1
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Nothing filed against the company according to the article, so I wonder what will happen with the companies.
@flatbeders It says they have filed. Its a tough one with floorplan financing, I have friends in the car sales business and they deal with this everyday. That being said their lots on Dixie look full to the brim every time I drive by, so the "truck shortage" may not be the best excuse here.
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This is just the beginning, there are a lot of other lenders that fund their operations. Really goes to show how quickly this industry flips around, this group was thriving 2 years ago. I guess that they just grew too big too quickly.
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Supplying equipment and financing to the steady stream of newcomers to this industry, afforded them quite a pool of customers and a way to make some serious money. Funny how when things are going good, the feeling is it will never end, and as result more and more growth, and more and more spending. The finance companies get greedy and they all want of piece of this expanding business. OEM’s all get a bit goggly eyed when orders for new equipment flow in and their credit departments green light the transaction. What is the expression….give someone enough rope and they will hang themselves? Might be somewhat applicable here. There was certainly no shortage of enablers, supplying mile after mile of rope!