James F. Lomma, the owner of a New York City crane that collapsed in 2008 and killed two people, filed for chapter 11 bankruptcy along with his companies in the wake of a $96 million jury award to the victims’ families last year, the Wall Street Journal reported today. In May 2008, a crane owned by Mr. Lomma’s New York Crane & Equipment Corp. collapsed on East 91st Street on the Upper East Side of Manhattan. The incident killed two men: crane operator Donald Leo and another worker, Ramadan Kurtaj. The following year, the families of Leo and Mr. Kurtaj each brought civil wrongful-death cases against Lomma. Criminal charges were also brought, but Lomma was acquitted. Lomma said in court papers that he decided to file for bankruptcy to try to preserve his businesses while he appeals the verdict. Adding that the decision to file for bankruptcy “is certainly not an easy one,” Lomma said the verdict “left the debtors no viable alternative.” The filing will halt attempts by creditors, including the families, to collect money while the companies and Lomma are in bankruptcy. Court papers say Lomma will ask for court permission to continue his appeal during the case.
