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Castle Law Office Bankruptcy News for Missouri & Illinois | Castle Law Bankruptcy Current Events

US Fidelis Headquarters to Be Sold in Foreclosure


Posted on Jan 06, 2010

One Wentzville, Missouri-based company will not remember 2009 as a banner year.

US Fidelis, which had more than 1,000 employees at the beginning of 2009, announced hundreds of layoffs earlier in December and recently said that it had stopped selling extended-service contracts.

Now word has come that the company’s headquarters will be sold in a foreclosure auction.

Frontenac Bank is publicizing the January 14 trustee’s sale. They say the brothers who began the company, Darian and Cory Atkinson, defaulted on their payments.

US Fidelis is also faced with legal scrutiny due to consumer groups and government regulars accusing the company of selling expensive after-market coverage offering limited value. The state of Missouri is also investigating claims of deceptive practices.

In spite of all the bad news, the company says the sale will not affect customer service operations.

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