There have been some new developments about the liquidation of the sneaker reseller business Zadeh Kicks LLC. The Initial Inventory and Report on the Corporation’s Dissolution, which was given to the circuit court of Lane county in Oregon on Thursday by the case’s appointed receiver, David P. Stapleton, revealed some brand-new information about how the company actually operated.
The most recent records show that Stapleton has been collaborating with the FBI to seize Michael Malekzadeh, the owner of Zadeh Kicks LLC’s personal, belongings. To date, the government has seized around 1,100 pairs of sneakers, as well as watches, jewelry, purses, and over six million in cash.
Zadeh Kicks had about 60,000 pairs of sneakers in its inventory before Malekzadeh sought to dissolve the company, according to other parts of the report. The stock was purchased from numerous different sneaker dealers, and 100 pairs of them are currently the subject of an insurance claim because of damage that occurred at the facility before the receiver’s appointment. About 48,339 of the 60,000 pairs of shoes were Nike and Jordan models.
The document states that “The receiver (Stapleton) does not aim to resume fulfillment of shoes in the regular course and is instead focusing his efforts on a selling strategy to maximize recovery from the inventory for the benefit of all creditors,” despite the company’s present inventory.
Malekzadeh requested permission from the court on May 19 to voluntarily dissolve the company and to assume possession, control, management, and operation of his assets because his company’s rapid expansion has made it impossible for him to continue operating it. Zadeh Kicks asked the court to name a receiver to manage the company’s assets and repay its creditors as part of the dissolution.
A receiver of the appointed case is required by Oregon law to submit reports to the court every two months and within 60 days, with the next update due before September.
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