With the authorization of Dennis Johnson Dealer News Senior Editor, I reproduce some new information regarding the bankruptcy of Titan and the following sales of assets.
“An Arizona bank has filed an objection to the proposed sale of now-bankrupt Titan Motorcycle Co.’s assets to Arizona Motorcycle Works for $300,000. In papers filed Aug. 27 in U.S. Bankruptcy Court for the district of Arizona, First National Bank of Arizona claims it has a first rights lien on Titan’s assets and that the sale price undervalues the fair market value of the property. The bank also claims that Titan’s owner Don Proudfoot and Hope Smith, a principal in Arizona Motorcycle Works, have a personal relationship and that the latter company is subtenant of Titan’s and that this relationship has not been disclosed. These two allegations call into question that the proposed sale represents a good-faith, arms-length negotiation" between the two entities, the complaint claims. FNBA states that Proudfoots’ company, TMC Acquisitions, owes the bank about $813,000 on a $1.5 million business loan that the company took out in February 2006. "The amount due and owing to FNBA is substantially above" the sale price, the bank claims. The bank says that business loan was secured with TMC’s property, which includes inventory, accounts, equipment, the Manufacturer’s Statement of Origin for Titan’s motorcycles, listed as collateral. Arguably, the assets no longer belong to the debtor or the estate are not subject to any potential sale to AMW, or any other prospective purchase," lawyers for FNBA claim. Proudfoot originally filed for Chapter 11 protection in January. At the time, listed among the company’s top 20 creditors were S&S Cycle, Daytec Cente; SuperTrapp, and Mid-USA Motorcycle Parts. This marks the second time that the Titan brand has gone bankrupt, the first time in 2001 under chairman and CEO Francis Keery. In March 2007 Titan’s owner Don Proudfoot was quoted in Powersports Business magazine saying "I sincerely believe this is a year of change in 2007. When the dust settles, there will be many fewer people (OEMs and aftermarket manufacturers) out there."
WHAT A CRAP.hope vender got their dues.
Now this is just my opinion! but it seems to me that back in the “old days”if you pulled this shi= on somebody, the hobgoblins would show up and “things” just started blowing up and people would get lost on there way home. I don`t know it is very sad! I go along with jatinder pal, he said what I was trying to say in a lot less words.
I don’t have a dog in this fight but I know two fellas with Titans. Well, one guy and another guy gave his old lady his when he got a 61 pan. Both the Titans I know of are rattletraps.
Anyway, here’s a point. If you are a bank and a motorcycle OEM comes to you for 1 and a half million after discharging one bancruptcy, wouldn’t it seem prudent to get some machinery in place to insure payment instead of letting the other shoe drop and having to file for recovery? WTF?
Maybe it’s chump change to FNBA but I wouldn’t lend coffee money to somebody that I know has a history of bailing out.
Any updates on the proposed sale of Titan? I was in Sturgis this year and purchased some parts from them. I had just bought a new left-over 06 Radical Rigid from a dealer in Texas. After returning home and waiting for them to answer the phone in Phoenix. I discovered they were out of business. Thats a very shitty thing to do to the un-expected buyer. Oh well I really do like the bike. As for the owner Proudfoot. I am a firm beliver of what goes around comes around.I’m sure I will read about your mis-fortunes in the future. You deserve everything that will come your way.All the really bad stuff anyway! Cyril will you please keep us informed of any & all updates on the proposed sale. Thanks: BJS
BJS. It seems that the validity of the sale of Titan’s assets to another company is still challenged and remains in litigation.
Titan is no longer in litigation and the sale WAS finalized Aug 29, 2007 to Arizona Motorcycle Works LLC. The alleged “relationship” between Proudfoot and Smith is ridiculous. Business is business. Everyone will have their own opinion but should check the facts before making a judgement. We ALL have our skeletons, or do we dare to even think about that???? It just seems that Proudfoot made a bad name for himself by his business practices and everyone is judging Titan by that.
I own a Titan and love it. As in ALL Custom Motorcycles if you don’t maintain them properly of course parts will come loose.. Titan motorcycles are a terrific product and shouldn’t be judged by what one person caused.
Freespirit: Where did you get your info about Titan? I to own a Titan and I like it very much. The only thing that bothers me is that I know that I payed for a 2 year warranty when you purchase a new bike and now it is worthless. Also I bought some parts from Titan in Sturgis this year and when I got home & tried to install them they didn’t fit. Thats a shitty business practice to sell parts knowing you are going out of business and knowing they would not fit the bike. BJS
Titan needs to be put to rest….Proudfoot put the nais in the coffin and Hope, if you are so money hungry to hold on to such a sneaky sob, you will go down with him. The troll and his foolish girlfriend should not be able to keep screwing people in the biking industry! (Guilt by association = Hope).
All the Vendors including the bank should be pissed that this cat has had more than 9 lives! Go back to Canada Mr Proudfinger!!!!!!!!!!!
http://www.leeclerk.org/Criminal_detail_new.asp?CsNum=07-CF-000095&CsType=Adult – Felony
I’ve known Donn for 26 years.I was fortunite enough to meet Donn when he was in the Hair Business.He was a Blast.We partied and laughed so hard I hurt.He was The Greatest Guy !We then Rode Harleys for years Laughing & Partying .Never a Bad Moment .He was always so generous to all around him .He couldn’t give enough to his friends and Charities alike.He talked of Love for his Mother allot.He loved visiting her in Canada.He sold the Hair Business and the Real Fun began. The Boating & Trips started.He demanded we all show up to go Boating .He again was so generous to his friends and the funniest person that I know for years and years.The Trips to Key West, the trips to Daytona when we rode 24/7 and laughed 24/7 …The Vegas FUN Laughing Trips.The Bahamas FUN Gambling Trips.I have never laughed or felt more loved in my life than being in Donn’s presence .He was a Blast to so many.He had friends all over the world that Flew in from everywhere who loved him deeply and he made you feel Loved and wanted .I logged in Thousands of the FUNNIEST , BEST , Most Terrific hours of my life with Proudy !
All of a sudden this all changed as he had to buy Titan.We all tried to talk him OUT OF IT ! It was changing him.He wasn’t the Donn we had all loved.He was different.He was out to prove something to Everybody that he NEVER NEEDED to do… He made Millions in Hair and he made Millions in Real Estate. He needed to keep doing Real Estate and go back to RIDING his Motorcycles NOT BUILDING them to Go Broke .His friends started shaking their heads.The bad stories started surfacing , one by one.We pleaded with him to get rid of it. he wouldn’t.He was on some kind of STUPID MISSION
I am so sad to read any bad press about Donn here .If you had known him before this Motorcycle Mess you would’ve Loved him and laughed with Him..He was a Blast. He was a Very Generous Man.He became very Humble in the last year as he returned home a few times in 2008.He was done with this Nightmare that was breaking him and changing his FUN Personality .The unfortunate nightmare was that the Nightmare wasn’t done with him Yet . I spoke with him 2 days before he died.I’m glad I did .The Old Donn was coming home for a couple of months to actually Party like the old days. We were all so excited ..The Motorcycle Nightmare was about over for him..He was starting over back in Real Estate that he knew so well.
Unfortunately , someone decided that his losing Millions of self made dollars wasn’t enough of his Fate and decided to end his life as he was moving on . I’m so Sad for his Mother and Hope who tried and only did POSITIVE things to help Donn . I’m sorry that the Courts couldn’t be used instead of a Gun.
I’ll miss my friend that I knew 26 years. I’ll miss the Fun that we had and the New Fun that was coming yesterday as he didn’t board the plane.We also talked about Canada Next Summer the other day .
Everybody has a few bad years..he had 8 out of 54 …
I feel for his enemies as he even got me once too. He did appologies to me later and made up for it 100 Fold in his generocity … I’d like to call his Motorcycle ownership – BiPolar ..If you were his friend , he couldn’t do enough for you. If you were his client or employees ..It seemed it wasn’t a good thing.It was disaster , Bad Bi Polar behaviour …
I hope more of his friends will find this Blog and post more of the fun and the old days. His new days were stolen ..He never deserved this no matter what happened. people on Wallstreet & Mainstreet have SCREWED us all 1000 Times worse than Donn and they weren’t Killed. They got us for TRILLIONS not Hundreds like you to a few Bikers .I guess it’s all relevant. Hundreds to a Biker is like Trillions to RICH White Collar People… It’s relevant in the Big Picture of NEGATIVITY leading to your Death in the Motorcycle world .
God Bless you Donn and Family and Hope and your Blood Daughter.
Donn,You will be Missed by Thousands of people that you touched in a Positive Way before this Motorcycle NIGHTMARE that did you in!
No one can take away the Laughs that he permanantly Imbedded in my Brain…. Thanks Donn ..
God Bless !
Loved that one, it is true, Donn may have hurt alot of people but in my worst time of my life he helped me without even asking him to. He had some good qualities and I wont forget him for his generosity and kindness….