Plenty Of Confusion In The Quartz Mountain Aerospace Auction | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

** Airborne/NBAA2014 10.20.14 ** HD iPad-Friendly -- Airborne/NBAA2014 10.20.14 **
** Airborne 10.17.14 ** HD iPad-Friendly -- Airborne 10.17.14 **
** Airborne 10.15.14 ** HD iPad-Friendly -- Airborne 10.15.14 **

Thu, May 27, 2010

Plenty Of Confusion In The Quartz Mountain Aerospace Auction

Original Buyer Did Not Pay For The Goods, Second Auction Online Results In An Unusual Buyer

There is still a lot of head-scratching going on over the recent online auction of Quartz Mountain Aerospace/Luscombe Aircraft Corporation.


Assembled Luscombe 11E Airplanes

The Altus Times reports that a second auction was necessary because Amir Zaki, who owns Amir Aircraft Parts in Sacramento, CA, and bid about $500,000 for the Type Certificate (TC), drawings, some parts, and tooling in an auction last year, failed to pay for what he'd bought. Zaki had apparently thought he could flip the TC for the Luscombe 11E quickly in order to pay what he'd bid. That was not the case, and QMA's trustees reclaimed the assets of the defunct company in April, contracting with an online auction firm to dispense of them.

The second auction took place over two hours online May 4, and the FDIC wound up as the sole bidder for the TC at  $470,000 ... which was set by the FDIC as the value for the TC and therefore the default minimum bid.

The FDIC got involved because the former First State Bank had made large loans to QMA, and that debt was assumed by the federal government when the bank failed. FDIC bid on the TC representing the taxpayers, and now has a tangible asset which former QMA CEO John Daniel says he will help them try to sell.

The paper reports that QMA was into the FDIC for $2.6 million because of the bad loans. With the credit for the TC, that figure is down to $2.13 million.

FMI: www.fdic.gov

Advertisement

More News

Klyde Morris (10.20.14)

Klyde Battles The Grammar Psychos!!! FMI: www.klydemorris.com>[...]

Airborne 10.17.14: Enstrom Delivers, Flight School Scandal, NBAA2014

Also: Rare O-46 Rebuild, Valor Unveiled, OK's Anti-Fly-In Airport, FAA Screw-Ups, The first Enstrom Model 480B-G has been delivered to Rick Boswell of New Hampshire with the Garmin>[...]

ANN's Daily Aero-Term (10.20.14): Altostratus

Altostratus This middle cloud genus is composed of water droplets, and sometimes ice crystals, In the mid-latitudes, cloud bases are generally found between 15,000 and 20,000 feet.>[...]

Aero-News: Quote Of The Day (10.20.14)

"I am extremely saddened by the loss of my friend. Peter devoted the last 23 years of his life to this wonderful mission. His faith, dedication, and hard work were something to emu>[...]

AeroSports Update: Sport Performance Aviation Selects Superior XP-320

Superior Air Parts Announces That Sport Performance Aviation Has Selected The XP-320 Engine For The SPA Panther Sport Aircraft Scott Hayes, V.P. Sales and Marketing for Superior Ai>[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2014 Web Development & Design by Pauli Systems, LC