Reuters reported Ecotality Inc, a maker of charging stations for electric cars that won a $99.8 million grant from the U.S. Department of Energy four years ago, has filed for bankruptcy and said it plans to auction its assets next month. The report also cites that the company said eight parties have expressed interest in bidding on its assets and that it wants to hold an auction on Oct. 9, with a closing to occur within two days.
According to the Reuters report, Ecotality and five affiliates filed for Chapter 11 protection on Monday night with the U.S. bankruptcy court in Phoenix.
Reuters said that according to a court filing, the Energy Department is owed $6.5 million as the largest unsecured creditor of Ecotality affiliate Electric Transportation Engineering Corp. A hearing on Ecotality's "first-day motions," including that it be allowed to pay employees and vendors, is scheduled for Thursday morning.