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Published July 29, 2009, 01:47 PM

Northwood Mills creditors out money

BISMARCK, N.D. (AP) — Eleven creditors who are owed money by a defunct canola crushing plant in northeastern North Dakota will get only a few cents on the dollar, if a court approves the recommendation of state regulators.

BISMARCK, N.D. (AP) — Eleven creditors who are owed money by a defunct canola crushing plant in northeastern North Dakota will get only a few cents on the dollar, if a court approves the recommendation of state regulators.

Northwood Mills LLP of Northwood owes its creditors nearly $861,000. It had only a $50,000 bond, and no other cash assets.

Public Service Commissioner Tony Clark says creditors will share in the bond proceeds, which means they will get only about six cents for every dollar they are owed.

Northwood Mills closed in January. Clark says it got into financial trouble when a contract with a foreign canola buyer fell through during the recent volatile times in the commodity markets.

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