Earth Biofuels, the Dallas green-energy firm he founded with the help of A-listers like Willie Nelson, Morgan Freeman and Julia Roberts, has been hit with an involuntary bankruptcypetitionin Delaware.
But in April 2009 the U.S. told Tronox that the DOE had frozen those funds pending discussions about the right of the U.S. to set off the Title X reimbursement against its pre-petition claims in the Tronox bankruptcy.
Faced with these confused, if not contradictory, claims in the Petition, the Nevada bankruptcy court sua sponte entered order to the three revenue agencies to show cause why Nevada was the appropriate district for the Chapter 7 proceeding.