Adak plant still in legal question


Thursday, April 01 2010
Unalaska, AK – The legal battle over the processing plant in Adak continues. Last month the federal court ruled that Aleut Enterprise could not quickly evict Adak Seafoods from the plant on Adak Island. Aleut Enterprise president Rudy Tsakada said they need to go through a lengthy court process.
"The action that was taken last month was strictly an expedited, force-entry detainer, an eviction process that was sped up in an expedited format. And what the judge basically ruled was that there was enough complexities in the case that rather than doing a expedited hearing that there probably should be more discovery, more discussion, depositions, things along those lines, prior to a ruling being made."
In the mean time, Tsakada said Aleut Enterprise is trying to negotiate a new lease with the company, but they are not getting a response from Adak Seafoods. He said the new lease agreements would do more to protect Aleut shareholders from bankruptcy and other problems as happened with Adak Fisheries.
"We had over $800,000 in notes payable for our fueling subsidiary that they did not pay on. If you look at the list of creditors, they include shareholders and a vast majority of the businesses on island. We want to insure that there's adequate protection. That not only Aleut Enterprise but the community in general is better protected from this type of bankruptcy proceeding," he said.
Currently, Aleut Enterprise is also losing money because they are not selling fuel to Adak Seafoods, though they are selling fuel for their housing units to ensure that the employees are safe.
"We believe that they are illegally occupying our premises and by selling them fuel from a subsidiary company that just promotes their position. Our position was affirmed by the bankruptcy court on Jan. 12."
Aleut Enterprise has been denied entry to the plant for inspections. Adak Seafoods management could not be reached and individuals at the Adak plant declined to comment on the situation or whether or not they are currently processing any seafood.