Specialty jewelry retailer Leo Robbins & Sons, Inc. has filed for chapter 11 bankruptcy protection. The Philadelphia-area retailer, which operates under the name Robbins Diamonds, already faced an involuntary Chapter 7 bankruptcy petition filed by five diamond companies in mid November.

 

Two New York-based companies, Leo Schachter Diamonds LLC and Sandberg and Sikorski Corp. (doing business as A. Jaffe), and three Ramat Gan, Israel-based companies, Salant Group Ltd., A.D.R. Kropveld Diamonds Ltd. and Yerushalmi Bros. Diamond Ltd., filed the joint petition November 16 in U.S. Bankruptcy Court for the Eastern District of Pennsylvania in Philadelphia.

 

According to a summons filed in the case, Robbins Diamonds is required to submit a motion or answer to the Chapter 7 petition within 20 days.

 

In Chapter 7, the business ceases operations, a trustee sells all of its assets, and then distributes the proceeds to its creditors. Any residual amount is returned to the owners of the company. In Chapter 11, in most instances the debtor remains in control of its business operations.

 

According to Jewelers Alert Board, Leo Robbins & Sons top 20 unsecured creditors are:

 

Salant Group - $899,700

R&R Grosbard, Inc - $257,679

Leo Schachter - $182,772

Overseas Diamonds - $159,496

True Romance $119,595

Yerushalmi Bros. $106,913

Moshe Namdar $90,435

B. Nemirofsky & Son $75,754

Golgen West Mfg $61,542

Ema Jewelry $60,243

A.D.R. Kropveld $60,000

Yehuda Diamond Co. $58,285

Scott Kay, $55,724

Comcast Spectacor $49,355

WRFF-FM $48,678

Waldman $47,989

Lazare Kaplan $41,938

WMMR-FM $41,550

Ashi Diamonds $38,907

Ostbye $38,473