February 22, 2024

Texas factoring company files for bankruptcy liquidation


Texas-based factoring company Genesis Network Telecom filed for bankruptcy liquidation on Wednesday.

Genesis Networks Telecom Services LLC, also known as Genesis ATS (GNET), headquartered in San Antonio, filed its petition in the U.S. Bankruptcy Court for the Western District of Texas.

Founded in 2005, the company offered financing solutions for small and midsize companies. It lists its assets as up to $50,000 and its liabilities as between $100 million and $500 million, according to the petition filed Wednesday. Genesis Funding, which states on its website that it’s a “one-stop shop for fast financing,” has up to 49 creditors and maintains that no funds will be available for unsecured creditors once it pays administrative fees.

FedEx Supply Chain Logistics of Carrollton, Texas, and Arris Solutions Inc. of Austin, Texas, are listed as creditors, although no amounts are listed in the bare-bones petition.

According to court documents, GNET, which was founded by James Goodman, has been involved in a number of lawsuits over the past three years, including a Chapter 7 filing involving one of its affiliates, Arris Solutions Inc. The suit, filed by FedEx against GNET in October 2023, alleges the company engaged in a “protracted and multifaceted scheme to defraud the company of more than $67 million dollars.”

Tina Younts is listed as the executive assistant on the bankruptcy petition. 

A creditors meeting has been set for March 19.

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