Gospel Light Voluntarily Files for Reorganization Under Chapter 11
Ventura, CA (August 10, 2015) – Gospel Light has filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Central District of California, Northern Division (the "Bankruptcy Court") on August 7, 2015. The Company will continue to operate its business as a "debtor-in-possession" under the jurisdiction of the Bankruptcy Court.
Gospel Light has filed a 120 day cash collateral plan to satisfy the obligations associated with the daily operations of its business, including the timely payment of employee wages and delivery of products for the church to both trade and direct customers.
In connection with its Chapter 11 filing, Gospel Light intends to conduct an auction of its Sunday School, Vacation Bible School, and Ministry Resource businesses. In addition, Gospel Light is seeking Court approval for the sale of its shares in ZDL to its minority partner, Pacific Resources International.
“We covet your prayers for Gospel Light as we seek to find through the auction process a ministry partner that can carry on the tremendous legacy that Henrietta Mears began over eighty years ago,” said Dave Thornton, Gospel Light’s Chief Executive Officer.
About Gospel Light