BDS Oil claims it is owed $247,000 in past rent and interest payments.
A rental dispute and shareholder disagreement resulting in a court case has the future of seven Terre Haute, Ind. Jiffy Mini-Marts in limbo.
Customers visiting the locations are greeted by “no gas” signage, pumps covered by plastic bags and low in-store inventory, according to an article in the Tribune Star.
According to the Tribune Star, Special Judge Matthew Headley of Putnam County Circuit Court ordered the liquidation of assets of the companies that operate the Jiffy Mini-Marts. The liquidation ruling has now been halted while the case heads to the Indiana Court of Appeals.
BDS Oil Co. LLC, headed by Japneet S. Khaira, purchased the Jiffy Mini-Marts in 2011, and owns the land on which the gas station/convenience stores operate. Khaira and business partner Raspinder Singh formed three companies — Khaira Petroleum Inc., JR Oil Inc. and JR Gas Inc. — to own/operate the stations.
In December 2011, BDS Oil entered into a 10-year lease agreement with the three companies. But in 2015, a dispute began between the two owners regarding shareholder amounts.
The Tribune Star reported that Singh filed a lawsuit against Khaira in May 2015, claiming that while Khaira managed the stores, the company became indebted to the Indiana Department of Revenue and payments were missed to the Hoosier Lottery. Khaira Petroleum also became a defendant in several collection matters from convenience store vendors, according to court documents. Singh was granted management of the businesses in a temporary restraining order.
In July 2015, Khaira filed a lawsuit, claiming BDS Oil Co. has not been receiving $53,100 in monthly rent since March 2015. By February 2016, BDS Oil claimed it was owed $247,000 in past rent and interest payments.
The two lawsuits were later merged. Subsequent court rulings placed management of the businesses into a court receiver/attorney.
As the owners wait for the appeals process, merchandise is listed as 30% off, and stores are open 6 a.m. to 8 p.m., instead of the usual 24-hour schedule.
