Closing on Sale of Erie’s Telatron
Jan 18, 2019
In one of the most high profile case of his career, Attorney John Melaragno has been appointed as Trustee for the Creditron Financial Corporation, also known as Telatron. This formally prosperous telemarketer business, founded in 1985, had been hit with declining business, caused in large part by changing laws related to student loans that had made up a large portion of their business. By the time the owners, Alfred and Joyce Covatto, declared Chapter 11 Bankruptcy in July of 2008 they had amassed $4.8 million in debt against assets of $3 million. Attorney Melaragno was appointed on December 27, 2010 after the company failed to come up with a reorganization plan.
Trustee Melaragno was able to sell the business as a going concern to Y&B Holdings, LLC, a company based out of Brooklyn.