Ron Devine is no longer in control of BK Racing after a bankruptcy judge ruled Wednesday the team would be operated by a trustee.
The No. 23 Toyota driven by Gray Gaulding can continue to race as Matthew Smith of The Finley Group oversees it, and Smith told the court during his testimony “the goal is to find a way to race as long as we can.”
Union Bank & Trust (of Virginia) requested earlier this year that the court appoint a trustee over BK Racing’s collateral, which includes its charter. The bank claims it is owed it $8 million from BK Racing.
Devine was encouraged by the judge to work with the trustee but, according to ESPN.com, after the hearing concluded Devine expressed uncertainty.
“I’m disappointed, obviously,” said Devine. “I don’t know if I will stay involved in it or go in another direction.”
During the offseason, BK Racing sold one of its charters to Front Row Motorsports for $2 million, according to court documents. Devine has also repeatedly expressed his belief that there are those, such as the bank, looking to take control of his remaining charter in order to sell it. Devine apparently reiterated that thought during his two-day testimony.
The decision from U.S. District Court Judge J. Craig Whitley is the latest development in Devine’s ongoing financial battles. Devine owes numerous creditors approximately $1.2 million and needs to repay his debt as part of the process of filing Chapter 11 bankruptcy, which he did in February.