Crime & Safety
Limetree Bay Requests Temporary Protection From Lawsuits
The bankrupt refinery has asked a judge to extend the protection from lawsuits to its private-equity backers while it tries to restructure.
ST. CROIX, USVI —Limetree Bay Refinery has requested that its backers, a mix of private-equity investors, be shielded from any ongoing and new lawsuits.
The refinery, Limetree Bay Refining LLC, is already protected from lawsuits since it filed for chapter 11 bankruptcy. On Monday, the refinery asked the judge overseeing the bankruptcy to extend that protection to its backers, including its primary owner EIG Global Energy Partners LLC.
Limetree is arguing that the multiple lawsuits hounding its backers are distracting management from trying to restructure the business. The owners of Limetree currently face multiple personal injury and property damage claims after the refinery had several operational incidents, including spewing oil droplets across neighboring communities.
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If approved, the backers would be shielded from lawsuits for 60 days.
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