Williamsport, Pa. — Two Snyder County businesses owned by a local couple recently filed for Chapter 7 bankruptcy as part of an insurance fraud investigation.
Stanley Woodworking, Inc., of Middleburg, and William Penn Cabinetry of Freeburg, are the two firms owned by Maurice and Deb Brubaker that filed for Chapter 7 bankruptcy earlier this month in the US Intermediate District Bankruptcy Court.
In January, the insurance and fraud division of the state attorney general’s office opened an investigation into the two companies owned by Brubaker, as well as a third company, Wood-Metal in Selinsgrove. Snyder County District Attorney Mike Piecuch confirmed that he sent the complaints filed to his office at the attorney general’s office. Wood-Metal filed for Chapter 11 bankruptcy in January.
The allegations include allegations that the Brubakers withheld employee earnings that should have been used for other purposes. This includes claims by workers at the former Wood-Mode in Snyder County, which belonged to the Brubakers before August 2019, that they received medical bills for services that should have been paid for by insurance.
Estimated creditors and liabilities listed in Stanley Woodworking’s court documents range from 50 to 99, with estimated assets between $1 million and $10 million.
Court documents showed William Penn Cabinetry also had between 50 and 99 creditors, as well as assets of $50,000 or less. The company’s liabilities exceed $1 million.
The Brubakers currently work as tax professionals in Lewisburg.