A group of Democratic lawmakers are asking Bregal Partners, the former private equity parent of New Bedford-based Blue Harvest, to provide answers by the end of this month about where funds went from the East Coast whitefish company's bankruptcy, IntraFish.com reported. Bregal Partners netted an estimated $100 million for itself by selling off assets in the two years prior to declaring bankruptcy, Sens. Elizabeth Warren (D-Mass.) and Edward Markey (D-Mass.) and Rep. Bill Keating (D-Mass.) wrote to Bregal's Managing Partner Charles Yoon on Monday. "Rather than using the money to settle the debts owed to the small businesses of New Bedford," the letter said, "Bregal Partners shielded these assets from Blue Harvest’s bankruptcy filing in Delaware and pocketed the profits for itself, as it has repeatedly done throughout its 'eight-year roll up of the New Bedford fishing industry.'" The request comes nearly four years after two of the senators praised Blue Harvest for being awarded a highly sought after US Department of Agriculture (USDA) groundfish contract for just over $4.4 million. Bregal sold Blue Harvest to C&P Trawlers last November for $12 million. Mark Felger, co-chair of bankruptcy, insolvency and restructuring with the Massachusetts firm Cozen O'Connor, confirmed with IntraFish that the sale closed in December. He said that it was unlikely the sale would cover all of the nearly $23 million Blue Harvest owes to senior bank lenders, according to bankruptcy documents.
